Exceptions
The Visa International By-Laws and Regional Boards Delegations allows some exceptions, commonly referred to as ¡§grandfather clauses,¡¨ to these rules for charter Members. Additional exceptions are allowed, under specific conditions, for Members that maintain foreign branches. Details are found in the Visa International By-Laws and Regional Boards Delegations, Section 2.10, Jurisdiction. In addition, an Acquirer may sign a Merchant Outlet that is:
?Ï Located on a military base overseas
?Ï An overseas embassy or consulate representing the Acquirer jurisdiction
?Ï An International Airline, as specified in the Visa International Operating Regulations, Volume I? General Rules, Section 4.3.C.
Additional exceptions may be allowed within specific Visa Regions according to Regional Operating Regulations.
Cross-Border Acquiring Versus Transaction
Currency Cross-border acquiring ¡X signing a Merchant Outlet in another country ¡X is often confused with processing Transactions in a different currency. Operating Regulations allow an Acquirer or its Processor to process Transactions in multiple currencies. Therefore, a Merchant located in the EU, with the contractual approval of its Acquirer, and assuming not otherwise prohibited by applicable law, may advertise and sell merchandise in a non-local currency, e.g., in Japanese yen rather than euros. The Merchant's Acquirer then clears those Transactions through VisaNet in yen. In this example, the Merchant is not a Japanese cross-border Merchant but, rather, an EU Merchant completing Transactions in yen. Even though a Merchant does not have a physical store, Acquirers and IPSPs still must investigate the Merchant's business and business practices. The Merchant's Website must be inspected to find out answers to questions, such as:
?Ï Is the Merchant's identity and location clearly indicated?
?Ï Are the products and services offered clearly indicated?
?Ï Are the total costs, including shipping, handling, and applicable taxes, clear to the Cardholder?
?Ï Is the Transaction Currency clearly indicated?
?Ï Are the Merchant's shipping practices clearly indicated?
?Ï Can the Cardholder determine when to expect the merchandise?
?Ï Is the Merchant's return policy easily accessible and understandable?
?Ï Does the Cardholder have to expressly accept the Merchant's return policy before completing the Transaction?
?Ï Is a customer service phone number or e-mail address clearly available for Cardholders to resolve disputes (and do phone numbers include a country code)?
?Ï Does the Merchant confirm the sale via e-mail after the order has been placed?
?Ï Does the Merchant keep the Cardholder notified of the shipping status of ordered goods?
?Ï Is the name and country that will appear on the Cardholder statement easily recognizable to the Cardholder as that on the Website?
Because of the dynamic nature of the Internet and other emerging environments, Members are encouraged to review the Visa International Operating Regulations routinely to check for new rules governing the electronic commerce environment.
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