One risk that Cuscal-linked credit unions will have to manage over the coming months is the uncompromising approach being taken by First Data, the sector's present provider of payment processing services, as the industry's switching project gathers momentum.Last year, differences between Cuscal and First Data, over how to handle the migration of more than 60 credit union customers away from the latter to the new Cuscal switching arrangements, led the parties (in an action bought by Cuscal) to the Supreme Court of New South Wales.In a ruling handed down on 31 December 2011, the judge, Nigel Rein, ruled that First Data was not obliged to provide Cuscal with services beyond the end of December 2012, or six months sooner than Cuscal considered was the end date of the pair's contract.Rein also ruled that "First Data is not contractually obliged to ensure continuity and smooth transition".The judge did, however, rule that First Data was "required to provide assistance to Cuscal to transition customers to Cuscal".On the other hand, First Data is not required to provide any of this assistance before the beginning of July 2012.Having failed, over the course of 2011, to persuade around eight of Cuscal's customers to stick with it from 2013, First Data has made the most of this court ruling to support a fresh round of sales efforts.In a circular to credit unions sent out three weeks ago, John Tait, managing director of First Data in Australia and New Zealand, warned that "the window for all the work required for de-conversion and customer migration is effectively reduced to five months."Tait also wrote about the fact that First Data "does not have an obligation to ensure a smooth transition [and] is not responsible for Cuscal's system and infrastructure being ready."First Data's CEO also emphasised that the firm also "does not have to act at Cuscal's back-up switch for the time of the migration or thereafter."On the other hand First Data says it will provide continuing services to credit unions if they enter into direct contracts with the firm.Tait and his predecessors at First Data also have a reputation for taking a hard-headed approach to sales.Cuscal, moreover, is confident in the plans it has in place to move credit unions to the new switch."It is mostly up and running… and ready to go," Craig Kennedy, the managing director of Cuscal, said."That won't be visible to our competitors. They won't know how far advanced we are."In a rejoinder letter to credit unions, Kennedy wrote that "given our recent experience Cuscal has developed an enhanced migration plan which is premised on the assumption of receiving no assistance from First Data beyond their minimal contractual obligations."Tait said that in advance of the legal action in late 2011 "First Data invested considerable effort attempting to agree on a transition plan with Cuscal…. Cuscal unfortunately did not agree to any of First Data's suggested approaches and instead elected to commence proceedings in the Supreme Court of New South Wales."In the 10 weeks since the