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MasterCard to appeal ruling
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October 17, 2001: 5:51 p.m. ET
Credit card network appealing decision that opens network to rivals.
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NEW YORK (CNNmoney) - MasterCard International Wednesday said it intends to appeal a federal judge's decision last week doing away with a rule that prevents banks from issuing rivals' credit cards.
Dropping the rule would give consumers more choice by opening up the markets to competition in which new and innovative products and competitive rates could be offered, American Express, the chief supporter of the government's case, has said.
Ruling in the government's antitrust case against MasterCard and Visa last week, Federal District Court Judge Barbara Jones struck down a rule the two networks shared that forbids their member banks from issuing rivals' cards such as American Express, at penalty of being dropped from the network.
Visa and MasterCard share a common network and some board members comprised of representatives of member banks, which actually own their networks.
In a filing with the United States District Court in the Southern District of New York Wednesday, MasterCard said it plans to appeal Jones' decision and requested that any change in the governing rules be postponed until the appeals process is completed.
MasterCard also proposed amending another part of the ruling giving banks the option to terminate agreements with card networks to confirm that the full agreement be honored until termination.
Another provision in Wednesday's filing deals with MasterCard's ability to recoup funds if a bank terminates its card issuer agreement. 
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