Third-party delivery companies sued by diners for anti-trust violations

Third-party delivery companies are facing more legal scrutiny as a New York federal judge allowed a lawsuit accusing Uber Eats, Postmates, and Grubuhb of menu price exploitation to move forward. The anti-trust lawsuit was originally filed in July 2020 and accused the third-party delivery companies of monopolizing delivery prices by not allowing restaurants who contract with them …

Grubhub, Uber Eats, Postmates must face diners’ lawsuit over U.S. restaurant prices

NEW YORK, March 30 (Reuters) – A U.S. judge on Wednesday said Grubhub, Uber Eats and Postmates must face an antitrust lawsuit by diners who accused them of driving up menu prices by exploiting their dominance in meal deliveries during the COVID-19 pandemic. U.S. District Judge Lewis Kaplan in Manhattan said it was reasonable to …

DC sues Grubhub, claiming its app is full of hidden fees and jacked-up prices

District of Columbia Attorney General Karl Racine is suing Grubhub for deceptive business practices, saying its food delivery app covertly inflates prices for diners who order through it. The suit demands an end to a laundry list of allegedly illegal practices as well as financial restitution and civil penalties. The newly filed lawsuit argues that Grubhub’s promises of …

Lawsuit prompts Grubhub to add disclosures about hidden fees

Washington D.C. Attorney General Karl Racine announced today that his office filed a lawsuit against Grubhub for “misleading District residents and taking advantage of local restaurants to boost its own profits.” The lawsuit alleges that Grubhub violated D.C.’s Consumer Protection Procedures Act (CPPA) in eight different ways, which mostly center on false advertising. The filing references misleading prices (prices …

US restaurant chain sues Google for directing customers away

San Francisco: A restaurant group in the US has sued Google for directing customers to unauthorised Google-branded food ordering web pages rather than sending them to the restaurant’s own website. The Florida-based restaurant group called Left Field Holdings, that runs Lime Fresh Mexican Grill franchises, alleged in the lawsuit that Google employs “bait-and-switch” tactics by …

Google “hijacked millions of customers and orders” from restaurants, lawsuit says

Google is being sued by a Florida restaurant group alleging that the tech company has been setting up unauthorized pages to capture food orders rather than directing them to the restaurant’s own site. Google uses “bait-and-switch” tactics to get customers to place takeout or pickup orders through “new, unauthorized, and deceptively branded webpages,” according to the …

Google accused of ‘deceptive’ online ordering practices by restaurant group

Dive Brief: A class action lawsuit has been filed against Google alleging the tech giant infringed on restaurants’ intellectual property rights and interfered with their customer relationships by using “deceptive online ordering practices.” The suit was filed on behalf of Left Field Holdings, which operates several Lime Fresh Mexican Grill restaurants. The complaint alleges that Google used the Lime …

DOORDASH TO START LENDING MONEY TO RESTAURANTS

Some restaurants will soon be able to get financing from DoorDash. The third-party delivery company Wednesday unveiled a new program called DoorDash Capital that will offer cash advances to eligible restaurants. Restaurants can use the money to buy equipment, pay rent or cover other costs like hiring and marketing, DoorDash said. Restaurants will repay the …

Solving third-party delivery problems with sights set on Uber Eats, Grubhub and DoorDash

When an online app used for ordering takeout kept listing the menus of his Salvatore’s Tomato Pies restaurants without his consent, owner Patrick DePula became irritated. “Even though we would tell them to take the menus down, they would go away, then come back,” DePula said. Third-party food delivery services such as Grubhub, DoorDash, Uber …

Chicago Raises New Allegations in Lawsuit Against Grubhub

In late 2021, nearly six months after officials first filed a lawsuit against third-party delivery giant Grubhub, the city of Chicago filed an amended complaint that includes new allegations that the locally based company “used deceptive marketing and pricing practices designed to mislead consumers and unfairly harm the same local restaurants Grubhub claims to support,” officials …