Electronic Payments

As the payment industry continues to grow and evolve, companies engaged in electronic payments need legal expertise and specialized resources to help guide them through the complex and competitive ecosystem. The ever-changing landscape, including new disruptors, make it vital for companies to stay informed and navigate uncertainties successfully and cost-effectively.

Taft strategically advises clients globally on both the legal and business issues, representing them on regulatory, compliance, contractual, and transactional matters. Our attorneys also counsel on pertinent changes including state and federal laws and regulations as well as strategic business alliances.

Our broad range of clients include financial institutions, acquiring banks, and payment facilitators and processors, digital currency companies, fintech companies, independent sales organizations (ISOs), marketplaces, money transmitters, mobile payment providers, prepaid access providers, and electronic fund transfer businesses.

We help clients identify, navigate, and mitigate legal risks and achieve their business goals. With decades of experience focusing on and specializing in the payments industry, payments law is what we do.

Our payment industry attorneys provide business-oriented and actionable advice and solutions to our clients, including: 

• Assisting clients in the negotiation, diligence, and transactional arrangements in connection with the buy and sell sides of payment companies and assets.
• Negotiating sponsorship agreements for processors, payment facilitators and ISOs, having experience representing both the acquiring bank and the sponsored entity.
• Advising payment providers and money remitters on complex regulatory issues including federal and state laws and regulations regarding: money services businesses (MSBs), money transmission, prepaid access, anti-money laundering (AML), know your customer (KYC) and beneficial ownership, and Regulation E.
• Preparing nationwide surveys of nuanced money transmission laws and exemptions including the applicability of agent-of-payee, authorized delegate, payment processor, and other agency exemptions.
• Counseling sponsoring banks, processors, ISOs, and payment facilitators on merchant agreements, terms of use, and disclosures in light of increased regulatory scrutiny.
• Working with payment participants in navigating the rules of the various card brands and Nacha.
• Advising on the implementation of surcharge, cash discount, and convenience fee models.