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The Department of Justice (DOJ)<\/a> filed an antitrust lawsuit against Visa. The lawsuit alleges that the financial firm holds a monopoly over debit network markets allowing it to charge banks and markets with exorbitant fees that get passed onto consumers and keep rival companies like PayPal and Square from competing on their level.<\/p>\n <\/em><\/a>\u00a0<\/em>first reported on Monday that the DOJ planned to file an antitrust suit against Visa following a multiyear investigation into Visa\u2019s business practices starting in 2020. Visa attempted to acquire <\/a> with a $5.3 billion bid but the DOJ filed a lawsuit blocking the deal claiming the acquisition would eliminate a competitive threat that challenged Visa\u2019s powerful control of debit markets.<\/p>\n Visa dropped the bid a year later to avoid any further legal entanglements but the DOJ continued investigating Visa\u2019s business practices.<\/p>\n The DOJ alleges in its latest lawsuit that Visa\u2019s \u201cweb of exclusionary agreements\u201d with banks and businesses helped strengthen its market dominance and \u201csmother\u201d any potential competitors. Attorney General Merrick Garland said in a statement that Visa \u201cunlawfully amassed the power to extract fees that far exceed what it could charge in a competitive market.<\/p>\n \u201cMerchants and banks pass along those costs to customers, either by raising prices or reducing quality or service,\u201d the statement reads. \u201cAs a result, Visa\u2019s unlawful conduct affects not just the price of one thing \u2014 but the price of nearly everything.\u201d<\/p>\n Visa’s General Counsel Julie Rottenberg told Engadget <\/em>in an emailed statement that the DOJ’s lawsuit is “meritless” and that they plan to vigorously defend themselves in court.<\/p>\n “Today’s lawsuit ignores the reality that Visa is just one of many competitors in a debit space that is growing, with entrants who are thriving,” Rottenberg said by email. “When businesses and consumers choose Visa, it is because of our secure and reliable network, world-class fraud protection, and the value we provide. We are proud of the payments network we have built, the innovation we advance, and the economic opportunity we enable.”<\/p>\n<\/div>\n