January 1, 2007 through December 31, 2023

An "End Merchant" is an individual or business entity that during 2007-2023 accepted a Discover Bank-issued credit card directly from a person as payment in return for the delivery of goods or services. For purposes of this settlement, there are four different types of End Merchants: Indirect End Merchant, Inactive Direct End Merchant, Managed Active Direct End Merchant, and Unmanaged Active Direct End Merchant.

A "Merchant Acquirer" is a business entity that during 2007-2023 had an agreement with Discover to facilitate Discover credit card transactions and was characterized by Discover's rules and regulations as an "Acquirer."

A "Payment Intermediary" is a business entity that during 2007-2023 processed Discover credit card transactions on behalf of other businesses, but that is neither an End Merchant nor a Merchant Acquirer.

A "Misclassified Card Transaction" means a Discover credit card transaction in which, at the time of processing and according to the records of Discover, the credit card account was classified by Discover Bank as a "commercial" credit card but should have been classified as a consumer credit card (i.e., a "rewards," "premium," or "premium plus" card).

The lawsuits allege that, beginning in 2007, defendants Discover Financial Services, DFS Services LLC, and Discover Bank (together, "Discover") misclassified certain Discover-issued consumer credit cards as commercial credit cards, which in turn caused merchants and others to incur excessive interchange fees.

Discover denies the claims in the lawsuits, and the Court has not decided who is right or wrong. The parties have agreed to the settlement to avoid the expense, uncertainty, and risks associated with litigation. The proposed settlement, if approved, would resolve these lawsuits and provide benefits to Settlement Class Members, including those who submit claims and do not exclude themselves.