Fraud Liability Shift Settlement

Merchants may be eligible for additional recoveries beyond the Visa Mastercard and Discover Merchant Settlements.

As the payments industry evolves, more class-action settlements are emerging for merchants, including those who absorbed fraud losses due to EMV liability shifting.

When EMV chip cards rolled out in 2015, liability for fraudulent transactions shifted to merchants that didn’t use EVM-compliant terminals. Studies show fraud loss rates for non-EMV transactions rose from 2.63 basis points to 7.87 basis points post-shift, and adoption of EMV terminals lagged, leaving many merchants exposed to significant financial liability.

On October 17, 2025, the Court granted preliminary approval to a $231.7 million Fraud Liability Shift Settlement, resolving allegations that Visa, Mastercard, Discover, and American Express improperly shifted EMV liability losses onto merchants.

Fraud Liability Shift Settlement Overview

B&R Supermarket, Inc., et al. v. Visa, Inc., et al., 17-cv-02738

Settlement Fund: $231.7 million

Claims Period: October 2015-September 2017

Eligibility: Merchants with unreimbursed chargebacks on EMV chip-card transactions processed on non-chip terminals via Visa, Mastercard, Discover, or American Express.

Status: A Claim filing deadline has not yet been set-this is expected after final approval.

What Merchants Should Do

EMV technology reduced fraud risk, but for many merchants the liability shift at rollout left them with significant losses. This settlement gives merchants an opportunity to recover some of those costs.

MCAG can assist merchants by providing guidance on eligibility, managing the filing process, paperwork, and deadlines-so you can focus on running your business while we handle the claims.

For additional information, visit the court-approved settlement website: https://fraudliabilityshiftlitigation.com