The EU Court of Justice ascertains whether the multilateral interchange fee set by the banks for credit card transactions with a merchant pursued no objective other than a simple price increase (Budapest Bank)

On 2 April 2020, the Court of Justice of the European Union (the “Court of Justice”) delivered a preliminary ruling in which it provided clarifications and guidance to the Kúria (Supreme Court of Hungary) on the distinction between restrictions of competition “by object” and “by effect” under Article 101 Treaty on the Functioning of the European Union (“TFEU”), particularly as they relate to agreements on fixed multilateral interchange fees (MIFs) (Case C-228/18 - Budapest Bank and Others). The referral to the Court of Justice from the Kúria originated in an investigation by the Hungarian Competition Authority (“HCA”) into a 1996 agreement among a group of banks in Hungary which adopted uniform MIFs vis-à-vis both Visa and MasterCard (the “MIF Agreement”). Visa and MasterCard were not present at

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  • Van Bael & Bellis (Brussels)

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Richard Burton, The EU Court of Justice ascertains whether the multilateral interchange fee set by the banks for credit card transactions with a merchant pursued no objective other than a simple price increase (Budapest Bank), 2 April 2020, e-Competitions April 2020, Art. N° 94727

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