Synchrony Responds to Walmart's $ 800 Million Case | Arkansas Business News

Synchrony issued a statement Friday in response to a complaint filed Thursday by Walmart Inc. in the US District Court of the Western District of Arkansas.

In the lawsuit, Walmart alleges that its long-standing credit card issuer has breached the terms of its contract and that some of Synchrony's underwriting standards have caused financial hardship.

Walmart claims damages "the amount of which must be proven at trial but estimated at not less than $ 800 million." The company also transfers its business to Capital One Financial Corp.

In a statement, Synchrony described the Walmart lawsuit as "baseless and baseless" and said it was "an attempt" to leverage and sell the company. 39 avoid the contractually defined process for evaluating the loan portfolio that Synchrony has served on behalf of millions of Walmart customers over the past 20 years. "

Synchrony stated that it applied the same underwriting and decision processes to Walmart's portfolio as it did to others, and that it intended to show that Walmart had failed "in the most basic elements of our contract. , including in promoting the card program at a time. " stores and online. "

Walmart responded to Synchrony's statement by stating that Synchrony "breached its contractual obligations to Walmart, so the damage to our company is estimated at at least $ 800 million.

"We have done everything in our power to resolve this conflict and avoid prosecution." However, Synchrony has not taken responsibility for its actions and we expect Synchrony to make counterclaims to hijack. the attention of his own conduct, "said the company.