[Ryan Shiroky]

i give up... honestly, if anyone should be sued, its the person who SIGNED a contract... if an ISO signs something that says they wont stack on XYZ Funding deals and they do, they should be sued (but lets see them get caught first...) if a merchant signs a contract and it says they wont stack and they do, they should be sued... and if your a funder and you dont want to get layered on, then make an agreement with the stackers and contract them.... SELF REGULATE!!!

[JSL23]

So if Amex gives a MasterCard customer a Black card can MasterCard sue? If I have a line of credit with Chase already will they take BOA to court if they gave me a loan?

If a lender sued another Direct Lender or ISO and won, wouldn't that be precedent setting? That would be a pretty big deal!! Might even go all the way to Supreme Court!

I do read the contracts before they go out, and maybe I am missing something but isn't it the Merchant that is liable and breaching the contract?

I heard about this today, it can effect me (and several others obviously) and I also heard which Direct Lender(s) it is supposedly coming from. Sounds like someone is either flexing their muscles to intimate the little guys or just trying to maximize those retainer fees!

[funding pro]

So if Amex gives a MasterCard customer a Black card can MasterCard sue? If I have a line of credit with Chase already will they take BOA to court if they gave me a loan?

Neither one of those examples is in any way comparable to this topic. Credit card debt is personally guaranteed and do not have any clauses restricting an individual from taking on additional credit cards. If you have a line of credit with Chase it would be secured against some asset. What is BOA giving you a loan against? Does the line of credit say you cannot take additional debt without their consent? Apples to oranges...

All I know is everything has a cause and effect. A CEO from a large funding company probably knows more about what his company is going to do than random brokers taking shots in the dark. I think everyone has an opinion of how this will all play out.

[AndyYSCISOdept]

I AGREE FUNDINPRO...Poor examples using AMEX and MC. They are in now way comparable.

[JSL23]

Neither one of those examples is in any way comparable to this topic. Credit card debt is personally guaranteed and do not have any clauses restricting an individual from taking on additional credit cards. If you have a line of credit with Chase it would be secured against some asset. What is BOA giving you a loan against? Does the line of credit say you cannot take additional debt without their consent? Apples to oranges...

All I know is everything has a cause and effect. A CEO from a large funding company probably knows more about what his company is going to do than random brokers taking shots in the dark. I think everyone has an opinion of how this will all play out.

You are taking it way too literally. The point I was trying to make is how ridiculous this whole thing is. What I said about the funding contracts, however was dead serious. The agreement is between the Lender and the Merchant(no comment on that?). I know anybody can sue anyone for anything but until there are ISO agreements stipulating that one cannot stack behind any deals they fund together I do not see this holding up in court.

[Chambo]

You are taking it way too literally. The point I was trying to make is how ridiculous this whole thing is. What I said about the funding contracts, however was dead serious. The agreement is between the Lender and the Merchant(no comment on that?). I know anybody can sue anyone for anything but until there are ISO agreements stipulating that one cannot stack behind any deals they fund together I do not see this holding up in court.

Correct. At the end of the day, it is the merchant who signs on the dotted line. but when he gets sued, he turns around and sues the stacking firm who told him it was OK, and "everyone is doing it"

[JSL23]

Correct. At the end of the day, it is the merchant who signs on the dotted line. but when he gets sued, he turns around and sues the stacking firm who told him it was OK, and "everyone is doing it"

Fair point. You can sue anyone for anything nowadays. If a Merchant asks about a Lender's take on them accepting additional funds I would advise them to refer to their original funding contract.

For the record I don't completely disagree with the anti-stacking crowd. I will take second position, but anything beyond that is excessive and would do more harm than good.