Customers at Dutch coffeeshops can continue paying with debit cards after a court in Utrecht ruled against a payment service provider’s plan to stop handling transactions.
Worldline, a company that processes card payments but is not a bank, had announced it would end its services for coffeeshops at the end of March. According to AD, the company said its foreign banking partner refused to process payments for the cannabis sector.
Coffeeshop owners disputed that. They said major banks, including Rabobank and ING, were willing to facilitate card payments through other payment providers.
The court rejected Worldline’s reasoning, emphasizing that the company plays a key role in Dutch payment systems and must consider the interests of its clients. About 80 percent of transactions in the coffeeshop sector are paid by debit card. Losing this option would create operational problems, force businesses to handle more cash, and increase the risk of robberies, the court argued.
The ruling also noted the difficulty of switching to a new provider on short notice. Many coffeeshop owners had recently tried and failed to find alternative payment services because most financial institutions prefer not to work with the sector, despite its legal status in the Netherlands.
Simone van Breda, chair of the Bond van Cannabis Detaillisten, praised the decision. “Coffeeshops may not be categorically excluded from essential payment systems. The court confirms that a payment institution cannot terminate service on that basis. We see this decision as an important and welcome recognition,” she told AD.
