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As COVID-19 continues to threaten our daily lives and cause great economic uncertainty for many, it is not the time for price gouging.
That’s why it’s so incredible to learn that Grubhub, DoorDash, Postmates and Uber Eats are being sued over menu prices!
Yes, that's right--before you order that food delivery today, take note.
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The delivery juggernauts were sued in Manhattan federal court on April 6 by three consumers who claim that the company's dominance in the restaurant meal delivery industry allowed them to impose undue fees on the consumer.
Meaning that you and I will ultimately pay the price for the coronavirus pandemic due to higher menu prices on the platforms.
The class action suit said that the defendants violated U.S. antitrust law by requiring that restaurants charge delivery customers and dine-in customers the same price, while imposing “exorbitant” fees of 10% to 40% of revenue to process delivery orders.
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Restaurants get a rough end of the deal, too; they must make the “devil’s choice” of charging everyone higher prices as a condition of using the delivery platforms, the suit alleges.
So--what do you think? Is this a frivolous lawsuit, or the delivery companies in the wrong here?
