The Federal Reserve formally requested that Judge Richard Leon allow the current debit interchange rule to remain in place while the Fed appeals his decision overturning the rule.
The Fed argued that numerous parties would suffer “irreparable harm” if the rule was not temporarily stayed and that serious legal questions on the merits of the case remain. It also pointed out that the plaintiffs—representatives of the retail and restaurant industries—also support retaining the current rule pending appeal.
Leon ruled last month that the Fed’s rule violated congressional intent in the Dodd-Frank Act by setting the interchange fee cap too high and failing to allow merchants to choose multiple unaffiliated PIN and signature networks for each card transaction they process.
Read the motion.