82ad790e_and_Merchant_Services_Glossary__Definition
[Term] Merchant Collusion [Definition] 
Program that permits a card issuer to file a claim against the acquiring bank associated with an identified fully collusive merchant, and to seek partial recovery (the lesser of [i] one-half of the credit limit in effect at the time that the card issuer closed the cardholder bust-out account, or [ii] one-half of the actual amount of fraud losses) for fraud losses attributable to transactions on cardholder bust-out accounts conducted at a fully collusive merchant.
Credit Card Processing and Merchant Services Glossary
Definition