Impacts of the Durbin Amendment’s Network Exclusivity Prohibition – Thomson Reuters Fintech Law Report

    View Author May 2015

    The so-called “Durbin Amendment” was enacted by Congress in an attempt to lower interchange fees for debit card transactions and promote competition. Recently, the Supreme Court denied a writ of certiorari in NACS v. Board of Governors of the Federal Reserve System, in the case decided by the United States Court of Appeals for the District of Columbia. In an article written by New York partner Huu Nguyen and associate Bryna Hummel, the authors say that although the regulation implementing this amendment as promulgated by the Board of Governors of the Federal Reserve System has sparked litigation and debate surrounding government regulation and consumer choice, it may also have a future impact on FinTech companies and innovations, including non-traditional issuers and new forms of debit card networks and processing.