Payment Systems

Lathrop GPM's Payment Systems team provides counseling and litigation support in the area of payment systems such as gift card programs, credit and debit card programs, direct deposit programs, Automated Clearing House (ACH) matters, negotiable instruments (checks, money orders, drafts, and notes) and letters of credit. Our clients include both providers of payment system services, such as financial institutions and money service businesses, and users of those services, including franchisors, retailers and other businesses.

Representative Matters

  • Represented a money services business developing a payroll card product. This project included advising on the structure and services needed to support the product and the federal and state payroll and other regulations applicable to the product.
  • Represented a payment services company in litigation involving stolen official checks, including the allocation of loss among payment system participants under UCC Articles 3 and 4.
  • Represented a coupon/rebate processing company in the wind down and out-of-court liquidation of a financially distressed customer, including the treatment of the customer’s outstanding rebate coupons.
  • Represented a franchisor implementing a system-wide gift card program, including the structuring of the program, the negotiation of contracts with service providers, and advising on the effects of unclaimed property laws on the program.
  • Represented a client establishing a direct deposit program for its sales consultants. This project included advising the client on its relationships with service providers and modifying its contracts with its sales consultants.