DoorDash, Grubhub, Caviar, Seamless, Postmates, and Uber Eats have sued New York City over the permanent 15 percent delivery fee cap, which the city passed in August, reports Restaurant Dive. The third-party platforms say that the cap is harmful to restaurants, workers, and customers.
"Price controls increase delivery fees for consumers, and therefore lead to a reduction of orders for both restaurants and couriers," a Grubhub spokesperson said in an email, according to the report. "While Grubhub remains willing to engage with the City Council, we unfortunately are left with no choice but to take legal action."
Back in July, DoorDash and Grubhub filed a similar lawsuit against the city and county of San Francisco over its permanent delivery fee cap of 15 percent.
"New York City Council passed harmful, unnecessary, and unconstitutional price controls which leave us no choice but to resolve this matter in court, as we did in San Francisco," a DoorDash spokesperson told Restaurant Dive in an email. Full Story
Related: NYC Council Makes Delivery Fee Caps Permanent; NYC Council Passes Surcharge Bill to Help Restaurants with COVID Costs.
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