• Send Us A Tip
  • Calling all Tech Writers
  • Advertise
Sunday, May 18, 2025
  • Login
  • Register
TechStory
  • News
  • Crypto
  • Gadgets
  • Memes
  • Gaming
  • Cars
  • AI
  • Startups
  • Markets
  • How to
No Result
View All Result
  • News
  • Crypto
  • Gadgets
  • Memes
  • Gaming
  • Cars
  • AI
  • Startups
  • Markets
  • How to
No Result
View All Result
TechStory
No Result
View All Result
Home Business

Uber, DoorDash, Grubhub file suit against NYC over emergency delivery caps

by Manasi Varma
September 12, 2021
in Business, News, World
Reading Time: 2 mins read
0
Uber DoorDash Grubhub
TwitterWhatsappLinkedin

Eating platforms Uber Eats, DoorDash and Grubhub have filed a suit against New York City (NYC), in opposition to a bill passed by the City Council, which would make permanent the emergency delivery fee caps that were set up during the pandemic.

You might also like

The Best Memorial Day Tech Deals of 2025: Big Savings on Apple, Amazon, Dyson, and More

Xiaomi to Launch First High-End Self-Developed Mobile Chip as It Reenters the Silicon Race

Epic Games Asks Judge to Force Apple’s Hand in Fortnite App Store Battle

Uber DoorDash Grubhub
Image Credits: The Highlighter

The case has been filed in a federal court in the Southern District of New York, and claims that should the caps be made permanent, it would be harmful to business, both for the plaintiffs, as well as for the “very local restaurants that the City claims to serve.”

Plenty of Options

The new bill, as per the allegations made in the suit, comes in the way of the “freely negotiated contracts” between these aggregators and their partner restaurants, and changes the “economic terms” which form the basis of the industry. The plaintiffs argue that the 15 percent fee cap for delivery and 5 percent cap for non-delivery services is arbitrary, while adding that should restaurants find the prices being charged by the apps to be too high, they can choose from any of the “plenty of options” that are available to them outside the apps.

Another complaint that the companies have is that they are forced to “compete vigorously,” not only among themselves, but also online advertising firms like Yelp and Google, which are not subjected to the 5 percent cap for non-delivery services.

Greedy, Out of Touch and  Unscrupulous

These fee caps were first introduced across New York and other cities during the pandemic, with restaurants being rather badly hit. But in late August this year, the New York City Council voted to extend them indefinitely, as a way of preventing Uber, DoorDash, and Grubhub from charging exorbitant fees for their services.

This has resulted in the delivery platforms filing the suit in order to prevent the bill from being passed. They are seeking damages from the city, in addition to demanding that a court deem the bill to be “unconstitutional.”

DoorDash and Grubhub had also filed a similar suit against San Francisco, which had introduced a permanent 15 percent cap.

Council member Francisco Moya, one of the proponents of the bill, has said that these was to be expected of the companies, describing them as “greedy, out of touch and unscrupulous.”

Just last month, Chicago officials had accused DoorDash and Grubhub of anticompetitive practices, alleging that they charge a high fees and indulge in other deceptive practices.

 

 

 

Tags: DoordashGrubhubNew York CityUber Eats
Tweet54SendShare15
Previous Post

Fired Apple employee gets approval to sue company

Next Post

How to share screen on Facetime

Manasi Varma

A 20-something year old with a flair for writing, a love for reading, and an obsession for KPop. Most amicable person you'll ever meet.

Recommended For You

The Best Memorial Day Tech Deals of 2025: Big Savings on Apple, Amazon, Dyson, and More

by Anochie Esther
May 18, 2025
0
Memorial Day

As Memorial Day approaches, many Americans prepare for backyard barbecues, summer getaways, and a well-earned long weekend. But beyond the grilled burgers and fireworks, Memorial Day has quietly...

Read more

Xiaomi to Launch First High-End Self-Developed Mobile Chip as It Reenters the Silicon Race

by Anochie Esther
May 18, 2025
0
Xiaomi

In a bold move that marks a new chapter in its technological evolution, Chinese electronics giant Xiaomi has announced plans to unveil its latest self-developed mobile processor, the...

Read more

Epic Games Asks Judge to Force Apple’s Hand in Fortnite App Store Battle

by Anochie Esther
May 18, 2025
0
Epic games

The long-running feud between Epic Games and Apple has taken yet another dramatic turn. Epic, the developer behind the global gaming phenomenon Fortnite, is now asking a federal...

Read more
Next Post
How to share screen on Facetime

How to share screen on Facetime

Please login to join discussion

Techstory

Tech and Business News from around the world. Follow along for latest in the world of Tech, AI, Crypto, EVs, Business Personalities and more.
reach us at [email protected]

Advertise With Us

Reach out at - [email protected]

BROWSE BY TAG

#Crypto #howto 2024 acquisition AI amazon Apple bitcoin Business China cryptocurrency e-commerce electric vehicles Elon Musk Ethereum facebook flipkart funding Gaming Google India Instagram Investment ios iPhone IPO Market Markets Meta Microsoft News NFT samsung Social Media SpaceX startup startups tech technology Tesla TikTok trend trending twitter US

© 2024 Techstory.in

No Result
View All Result
  • News
  • Crypto
  • Gadgets
  • Memes
  • Gaming
  • Cars
  • AI
  • Startups
  • Markets
  • How to

© 2024 Techstory.in

Welcome Back!

Login to your account below

Forgotten Password? Sign Up

Create New Account!

Fill the forms bellow to register

All fields are required. Log In

Retrieve your password

Please enter your username or email address to reset your password.

Log In
Are you sure want to unlock this post?
Unlock left : 0
Are you sure want to cancel subscription?