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GrubHub, DoorDash, Postmates, and Uber Eats were sued Monday for allegedly exploiting their dominance of restaurant food deliveries to impose fees that consumers eventually pay through higher menu prices, even during the coronavirus pandemic.
FILE PHOTO: The backpack of an Uber Eats food delivery courier is seen in front of a fast food restaurant as the spread of coronavirus disease (COVID-19) continues in Amsterdam, the Netherlands, March 25, 2020 REUTERS / Eva Plevier
NEW YORK: GrubHub, DoorDash, Postmates, and Uber Eats were sued Monday for allegedly exploiting their dominance of restaurant food deliveries to impose fees consumers ultimately bear through higher menu prices, even during the coronavirus pandemic.
In a class action lawsuit filed in Manhattan federal court, three consumers said the defendants violated United States antitrust law by requiring restaurants to charge delivery customers and customers dining for the same price, at the same time. that impose “exorbitant” rates of 10 percent to 40 percent of income. to process delivery orders.
Consumers, all from New York, said this limits restaurants to the “devil’s choice” to charge everyone higher prices as a condition of using the services of the accused.
They said this made it harder to keep tables full even before the pandemic ended most restaurants, at least temporarily.
“The plaintiffs file this relief claim on behalf of all Americans who would still enjoy a good dinner with their family before the defendants make it impossible,” the complaint said.
Grubhub Inc, whose businesses include Grubhub and Seamless, and Uber Technologies Inc, which owns Uber Eats, declined to comment.
DoorDash and Postmates did not immediately respond to requests for comment. Plaintiffs’ attorneys did not immediately respond to a similar request.
The lawsuit seeks triple damages, including surcharges, as of April 14, 2016 for customers dining and delivering in the United States at restaurants using the defendants’ delivery apps.
The case is Davitashvili et al. Against Grubhub Inc et al., United States District Court, Southern District of New York, No. 20-03000.
(Report by Jonathan Stempel in New York; Cynthia Osterman edition)
