Now Wal Mart is objecting to swipe fees they agreed to pay. Why doesn't Wal Mart stop accepting VISA? This would equal zero swipe fees. Wal Mart must see some economic advantage to accepting credit cards. I have a Wal Mart credit card. The interest rate on revolving balances is very high. But I agree to pay it. Then sue Wal Mart for usury. Don't legal agreements bind each party?
I think VISA shareholders can claim economic damages against Wal Mart for filing their lawsuit. Anyone who sells VISA at a loss ought to look to Wal Mart to make them whole. Doesn't cost much to file a lawsuit. Under this scenario, VISA stock is now risk free.
And don't forget, VISA now has protection from the Federal Reserve who sets the maximum transaction swipe fee at 21 cents. No doubt about it, the Wal Mart lawsuit is defaming the VISA brand. As a VISA shareholder, I hope we do not settle with Wal Mart and instead counter sue for damages.