Lawyers Try to Silence NACS Opposition to Proposed Settlement

In a letter to the Court, plaintiffs' counsel complained of NACS alleged efforts to "lobby" merchants and other plaintiffs.

August 15, 2012

ALEXANDRIA, VA - In just released documents in the case MDL 1720 (the class action suit filed by retailers against the credit card industry), the world is reading about the attempts of class-action attorneys to silence NACS opposition to the proposed settlement.

In a letter to the Court dated August 7, 2012, plaintiff€™s counsel (and former NACS counsel in the case) complained of NACS alleged efforts to "lobby" merchants and other plaintiffs to reject the proposed settlement. It should be pointed out that it was plaintiff€™s counsel, and not NACS, that accepted the proposed settlement.

Responding to the letter, NACS new counsel all but called the claims nonsense, and pointed out questionable behavior by plaintiff€™s counsel.

At the ensuing status conference before the court, Judge Orenstein asked plaintiff€™s counsel what action they were seeking with their letter. The answer was a sheepish "Nothing, Your Honor." Reports of this exchange have been widely picked up by the media and analysts closely following the case. One analyst, Morgan Stanley Vice President Glenn Fodor, wrote: "Lead class counsel Craig Wildfang is ironically the credit card industry€™s best advocate right now."

NACS will not be silenced in bringing information to its members and others regarding the proposed settlement. As more retailers understand the details of the proposed settlement, they are joining the growing list of opponents. To add you company or association name to this list, please contact NACS Senior Vice President of Government Relations Lyle Beckwith.

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