Document ID: ./input/supremecourt_opinions/opinions/17pdf/16-1454_5h26.pdf
Page Number: 29.0

Cite as:  585 U. S. ____ (2018) 

5 

BREYER, J., dissenting 

B 

This  case  focuses  upon  a  practice  called  “steering.”
American  Express  has  historically  charged  higher  mer­
chant  fees  than  its  competitors.    App.  to  Pet.  for  Cert.
173a–176a.  Hence,  fewer  merchants  accept  American
Express’  cards  than  its  competitors’.    Id.,  at  184a–187a. 
But,  perhaps  because  American  Express  cardholders  are,
on  average,  wealthier,  higher-spending,  or  more  loyal  to
American  Express  than  other  cardholders,  vast  numbers
of merchants still accept American Express cards.  See id., 
at  156a,  176a–177a,  184a–187a.    Those  who  do,  however, 
would (in order to avoid the higher American Express fee) 
often  prefer  that  their  customers  use  a  different  card  to
charge  a  purchase.  Thus,  the  merchant  has  a  monetary 
incentive  to  “steer”  the  customer  towards  the  use  of  a 
different  card.  A  merchant  might  tell  the  customer,  for 
example, “American Express costs us more,” or “please use 
Visa if you can,” or “free shipping if you use Discover.”  See 
id., at 100a–102a. 

Steering  makes  a  difference,  because  without  it,  the
shopper does not care whether the merchant pays more to 
American  Express  than  it  would  pay  to  a  different  card 
company—the  shopper  pays  the  same  price  either  way. 
But  if  steering  works,  then  American  Express  will  find  it
more  difficult  to  charge  more  than  its  competitors  for
merchant-related  services,  because  merchants  will  re­
spond  by  steering  their  customers,  encouraging  them  to
use  other  cards.    Thus,  American  Express  dislikes  steer­
ing;  the  merchants  like  it;  and  the  shoppers  may  benefit 
from it, whether because merchants will offer them incen­
tives  to  use  less  expensive  cards  or  in  the  form  of  lower
retail prices overall.  See id., at 92a, 97a–104a. 

In  response  to  its  competitors’  efforts  to  convince  mer­
chants  to  steer  shoppers  to  use  less  expensive  cards,
American Express tried to stop, or at least to limit, steer­
ing  by  placing  antisteering  provisions  in  most  of  its  con­