Walmart Rejects Visa Mastercard Settlement, Seeks Stronger Merchant Reforms

Walmart formally objected to a proposed settlement between Visa and Mastercard on December 15, 2025, joining a coalition of major retailers and industry trade groups in asking a federal judge in Brooklyn to refuse approval. The settlement would trim swipe fees by 0.1 percentage point for five years while preserving network rules that require merchants to accept all Visa and Mastercard cards. Walmart argued that the arrangement provides "no meaningful relief" for large national merchants and would require them to release antitrust claims for eight years.

Retail trade groups including the National Retail Federation and the Retail Industry Leaders Association raised related concerns, warning that the settlement awards outsized legal fees to plaintiffs' counsel and delivers only limited benefits for large merchants. The retailers contend the deal falls short of the core reforms they have sought for decades to address card network pricing and rules.

The immediate consequence of the filing is to place a spotlight on how the proposed settlement would affect merchant operations and costs. For large retailers, a mere 0.1 percentage point reduction in swipe fees over five years is unlikely to change long standing cost structures tied to card acceptance. That has implications for pricing decisions, store investment, and the financial flexibility that companies use when determining staffing levels, wages, and benefits.

The objection also flagged a broader legal and policy concern. By requiring merchants to drop antitrust claims for an extended period, the settlement could limit the ability of businesses to pursue stronger remedies in court or in coordinated government actions. Retailers and trade associations warned the agreement could therefore hamper ongoing antitrust enforcement efforts even as regulators continue to scrutinize card networks and merchant practices.

The Brooklyn federal court will now weigh those objections as it considers whether to approve the deal. The retailers filing suit signal a willingness to continue litigation rather than accept modest fee reductions and preserved network rules. For workers at large merchants, the outcome could shape how retailers balance costs and labor investments in the years ahead.