Sen. Chuck Schumer is getting in the middle of the food fight between Grubhub and New York City restaurants by asking the delivery app to eat its “fake” fees.
In May, The Post reported how Grubhub, the country’s largest food ordering service, was charging restaurants in the Big Apple and elsewhere $4 to $9 fees for telephone calls that resulted in no orders.
The company is only supposed to take a cut if an order is placed.
“So today, I am putting in my own order at Grubhub and asking them to eat any fees they wrongfully charged restaurants or even customers,” Schumer said.
Schumer requested that the federal Small Business Administration send a report to Congress on the situation.
The Small Business Administration has guaranteed more than 900 loans to restaurants in the New York-area, and the fees could impact the ability eateries have to pay them back.
He also urged the Federal Trade Commission to be “at the ready” to act because he believes this is an unfair trade practice.