Meal Delivery Platforms, Uber Eats and Postmates, Settlement
The City of Chicago resolved its investigation of Uber for alleged misconduct related to its meal delivery platforms, Uber Eats and Postmates. The settlement brings to closure the City’s two-year investigation into the company’s practice of listing Chicago restaurants on its platforms without their consent, violating the City’s emergency fee cap ordinance, and other advertising-related conduct.
Restaurants affected by the unauthorized listing practice will be entitled to benefits under the Settlement. If you are a restaurant owner, you can claim apply to claim the benefits. The deadline to claim these benefits is Sunday, January 29, 2023.
Under the settlement terms:
- Uber repaid $3,331,892 to Chicago restaurants that were charged commissions exceeding 15%, in violation of the City’s emergency fee cap ordinance.
- Uber will pay $2,250,000 in restitution to Chicago restaurants that were charged commissions in excess of the limits set by the City’s emergency fee cap.
- In 2021, Uber removed all remaining Chicago restaurants that Uber listed on its platforms without consent and agreed not to list restaurants without consent in the future.
- Uber will pay $500,000 to Chicago restaurants that Uber listed on its meal delivery platforms without written permission.
- Uber will provide $2,500,000 in commission waivers to Chicago restaurants that were listed on Uber’s platforms without consent.
- Uber will pay $1,500,000 to the City to cover the costs and fees of its investigation.
Restaurants must take the affirmative steps noted in these bullets to claim the benefits under the unauthorized listing portion of this settlement. Restaurants are permitted to claim both benefits. The deadline to claim these benefits is Sunday, January 29, 2023.
This document provides helpful information for restaurants regarding the settlement.
Uber Eats and Postmates Settlement
Review the settlement.
Review the press release.