…Schumer said the nation’s largest food-ordering platform should “take a hard look at their fee structure and prospecting algorithm which they have blamed, in part, for this mess and make a real effort to fix the problem while fully cooperating with the feds.”
“It is the everyday New Yorker who can wind up eating the cost when the restaurant they love has no choice but to serve up the added fees on their menu in the form of increased price,” he added.
At a City Council hearing last month, Grubhub was accused of “cybersquatting” – creating websites that look like they belong to a restaurant but are controlled by Grubhub.
Schumer’s push includes getting to the bottom of the fake websites, and warned he could ask the Federal Trade Commission to enter the fray.
“Fake fees for restaurants that can be served to customers leave a bad taste in everyone’s mouth,” Schumer said. “And fake websites just add insult to injury, confusing the customers and inevitably raising the prices of menu items when unmanageable costs are passed right on to them.”