Uber Eats Joins DoorDash in Suing NYC Over Data-Sharing Law

New York judge orders for cases to be combined Both lawsuits claim NYC rule is unconstitutional Uber Technologies Inc.‘s Uber Eats has joined DoorDash Inc. in suing New York City over a law that makes delivery apps share customer data with restaurants. The data-sharing mandate “rewrites” agreements made between delivery platforms and restaurants and “runs roughshod” over …

Why the Big Restaurant Delivery Apps Will Need the Courts to Save Their Business

At a Goldman Sachs conference last month, Uber CEO Dara Khosrowshahi addressed legislation capping the commissions restaurants have had to pay Uber (Postmates’ parent company) and other large delivery companies in recent months. Short-term regulation is unpredictable, but “long-term regulation is smart,” he said, because it follows common sense. Uber and other restaurant delivery companies like DoorDash are …

Rideshare Drivers Could Make as Little as $4.82 Per Hour if Uber Gets Its Labor Law in Massachusetts, Study Finds

Uber, Lyft, DoorDash, and Instacart are looking to buy another law in Massachusetts by replicating Prop 22, the disastrous, virtually irrevocable California ballot measure that deprived their workers of employee status. Now, leading rideshare labor researchers from the UC Berkeley Labor Center have predicted how bad it could get—as little as $4.82/hour for Uber and Lyft drivers. …

Uber Eats, Grubhub, DoorDash sue NYC for limiting fees the apps can charge restaurants

Food ordering and delivery platforms DoorDash, Caviar, Grubhub, Seamless, Postmates and Uber Eats have banded together to sue the City of New York over a law that would permanently limit the amount of commissions the apps can charge restaurants to use their services. The Wall Street Journal first reported the news that the companies filed suit …

Chicago sues DoorDash, Grubhub for allegedly deceiving customers

The City of Chicago filed two sweeping lawsuits against DoorDash and Grubhub for allegedly deceiving customers and using unfair business practices. The suits echo longstanding claims from restaurant owners that the platforms advertise delivery services for their businesses without their consent and conceal lower prices that restaurants offer directly to customers outside of the platforms. The city also claims both platforms …

FEE CAPS TAKE A BITE OUT OF JUST EAT TAKEAWAY’S U.S. PLANS

Just Eat Takeaway (JET) has been very clear about its plans for the U.S. and the newly acquired Grubhub business: Identify markets where the company is strongest and invest, invest, invest. The crown jewel of that strategy is New York City, historically a Grubhub stronghold and an enormous restaurant market. Unfortunately for Amsterdam-based JET, the Big …

Tech’s delivery problem: It doesn’t end at your door

The month before the pandemic hit, I met with a banker who didn’t want to talk. As we sat in a San Francisco hotel bar, he expressed either indifference or ignorance about every topic I brought up, even though I’d promised to keep his name out of any story I’d write.  Then I brought up …

DoorDash, Grubhub sue San Francisco over permanent delivery caps

Dive Brief: DoorDash and Grubhub filed a lawsuit on Friday against the City and County of San Francisco over a permanent delivery fee cap of 15%, which passed in late June. The companies call the cap “unnecessary,” “harmful” and “unconstitutional” and are seeking an unspecified amount of monetary damages. The lawsuit claims restaurants have a wide …

Will Permanent Fee Caps Actually Rein in Delivery Apps?

Last week, San Francisco’s Board of Supervisors voted unanimously to approve a permanent cap on the delivery fees third-party apps like DoorDash and Grubhub are allowed to charge restaurants for each order. It is the first permanent cap on delivery fees in the country, potentially heralding a lasting shift in the way that delivery apps charge restaurants …

Chicago’s 15 Percent Delivery Fee Cap Extension Stalls

The effort to extend Chicago’s pandemic 15 percent cap on third-party delivery charges for restaurants stalled at Wednesday morning’s City Council meeting, but the measure could be approved next month. In November, city officials instituted a cap on fees that companies like DoorDash, Grubhub, and Uber Eats can require of restaurants as COVID-19 halted dining room service …