Antitrust Law Daily Wrap Up, ANTITRUST—E.D.N.Y.: Prisoner’s antitrust suit over excessive credit card fees fails, (Oct 9, 2013)

By Tobias J. Gillett, J.D., LL.M.

A prisoner proceeding pro se failed to state a claim that Visa and MasterCard had violated his civil rights and the antitrust laws, causing him to pay excessive fees for accepting credit cards, the federal district court in Brooklyn has ruled (Robertson v. Visa and MasterCard Credit and Debit Cards, October 7, 2013, Kuntz, W.).

Mulbah Robertson, a prisoner incarcerated at Gouverneur Correctional Facility, filed a pro se complaint against Visa and MasterCard, alleging that they “separately and together with banks, violated my rights and violated antitrust laws, and caused me, Mulbah Robertson, to pay excessive fees,” including “excessive fees for accepting Visa and MasterCard credit and debit cards, between January 1, 2004 and December 11, 2011.” He further alleged that the defendant companies had damaged his credit, and sought $20 million in damages.

The court dismissed his action. The court first concluded that his action, although styled as a “Civil Rights Complaint” under 42 U.S.C. § 1983, did not state a claim under § 1983 because Visa and MasterCard were private entities, not state actors or acting under the authority of state law. Moreover, he did not identify any loss of constitutionally protected rights that would fall within the scope of § 1983.

Robertson also failed to state a claim under the “antitrust laws” because he had not “suggested any theory under which defendants may have colluded to raise prices or harm competition.” Since Robertson did not state a claim under § 1983, the antitrust laws, or any other federal law, and finding no other basis for federal jurisdiction, the court dismissed his action with prejudice.

The case is No. 13-CV-5077 (WFK) (LB).

Companies: Visa, Inc.; MasterCard, Inc.

Cases: Antitrust NewYorkNews