Uber and Lyft try to blunt a court ruling that their drivers are employees

It was clear almost from the first that the California Supreme Court, in a ruling in April 2018, threw the business models of Uber and Lyft companies for a loop. The thrust of the ruling was that drivers for those companies had been improperly classified as “independent contractors” when in fact they’re employees, entitled to …

Class action suit claims Waitr’s fee hike broke contracts

Little Rock-based Bobby’s Country Cookin’ has brought forth a class action lawsuit against Waitr, claiming the third-party delivery company broke its contract with thousands of eateries when it increased fees from 10% to 15%, according to Law360. The suit alleges Waitr raised the fee in 2018 prior to its initial public offering and suggests the food delivery …

Grubhub Stock Falls on Fears of New York Regulation

News of partnerships with well-known food brands and the potential for easing competitive pressure has helped Grubhub stock (ticker: GRUB) recover substantial ground since early June. On Thursday, however, investors fretted about something else: regulatory worries in New York. The shares were recently down 3.4% to $74.43 following a Wednesday night New York Post report that said the state …

State liquor authority threatens delivery services over hefty fees

Grubhub might have to swallow hard when it reads this new set of rules. The New York State Liquor Authority — a powerful agency that regulates restaurants serving alcohol statewide — is developing new rules that will significantly curb the stiff fees that can be charged by food-ordering companies like Grubhub, Uber Eats, DoorDash and …

Grubhub execs grilled over bogus fees

Grubhub drew snickers and guffaws at a City Council hearing Thursday as its executives for the first time attempted to defend the company — which also owns Seamless — against allegations that it has been overcharging its restaurant customers for years. But not a single Grubhub supporter made the downtown Manhattan powwow — because they …

NYC restaurant owner says Grubhub refunded $10K in erroneous fees

Remember that ongoing lawsuit surrounding Grubhub, and its allegations that the food delivery giant has been piling unnecessary call fees onto restaurants within its network? As an NYC public hearing on the subject draws near, a New York Poststory suggests that there could well be fire where restaurant owners have been smelling smoke. After all, a company doesn’t just give …

Want to complain about delivery charges? NYC is listening

For better or worse, using third-party apps for food delivery is a reality for most restaurant operators. And grumbling about the cuts those services take is just as commonplace. New York City wants to give those complaints a platform later this month during a planned hearing on digital food delivery apps and their impact on …

Uber, Lyft Use Apps To Get Drivers To Oppose Employee Status

SAN FRANCISCO (KPIX 5) — Fearing a proposed California law that would clarify that drivers for Uber and Lyft are employees, the companies are sending messages to drivers through the apps they use to work asking them to oppose the law. “When I press to go with Uber, I get a notification and the notification …

NYC Officials Are Looking Into Grubhub’s Reviled Restaurant Fees

New York City government officials are now diving into the Grubhub debacle, in which several restaurants have accused the food delivery app of slyly charging fees for customer phone calls that never resulted in actual delivery orders. City Council’s Committee on Small Business will hold an oversight hearing to investigate those fees, as well as others charged by similar apps …

CALIFORNIA LAWMAKERS MOVE TO PROTECT GIG-ECONOMY WORKERS

THE CALIFORNIA ASSEMBLY passed legislation on Wednesday that could have a profound effect on hundreds of thousands of workers by requiring companies like Uber, Postmates, Amazon Flex, and others to recognize much of their workforce as employees entitled to labor protections and benefits. The proposed law cuts to the heart of one of Silicon Valley’s fiercest debates …