DoorDash, Grubhub, and Uber Eats sue New York City over restaurant fee caps

Delivery service platforms DoorDash, Grubhub, and Uber Eats are suing New York City for capping the amounts they can collect in fees from restaurants. In a complaint filed in US District Court court late Thursday, the companies argue that the fee caps are government overreach that will harm businesses. Along with monetary damages and a jury trial, the three companies are seeking an injunction to keep New York from enforcing the fee-capping rule that the city made permanent in August.

The city put a temporary cap on delivery fees last June to help restaurants that were relying on food deliveries to stay in business while they were closed to in-person dining because of pandemic restrictions. The platforms can’t charge restaurants more...

Continue reading…