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Food delivery fees capped in an emergency–NY city passes bill

New York City Council temporarily caps food delivery service fees May 13,billWas passed. If approved, third-party food delivery services [Grubhub, DoorDash, Postmates, etc.] operating in the city will not be allowed to charge more than 20% of fees to the restaurant during the period of emergency declaration.

By: Getty Images

By: Getty Images

This law is also applied to the state of emergency declaration by the pandemic of the new coronavirus infectious disease [COVID-19], which is currently issued. At the moment, these apps can also collect more than 30% of fees from restaurants for each order, cutting down the restaurant's profits in the situation where COVID-19 will close the store and find a way out for takeout or delivery. It was a factor.

Regarding the bill, the mayor of Bill de Blasio will decide whether to sign it in the future. At the press conference on May 12, the mayor said he would support the bill.

This bill states that if a state of emergency is declared and the restaurant is prohibited from providing food and drink to customers at the store, a fee collected by a third-party food courier service during the period of emergency and for 90 days after cancellation. It sets an upper limit on the rate. During the period, the maximum fee that can be collected by the courier service for each order is 15% as a delivery fee, and 5% for other fees [such as credit card usage fees and advertising expenses].

If you violate, a fine of up to $ 1000 [about 110,000 yen] per day will be imposed on the food delivery company for each restaurant.

In other cities such as Jersey City, Washington DC, Seattle, San Francisco, following the pandemic,Capped fees for third-party courier services..

This article is from overseas CBS InteractivearticleIs edited by Asahi Interactive for Japan.


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