Luján, Blumenthal, Wyden Urge Transparency for Delivery Service Junk Fees
Santa Fe, N.M. – On Friday, U.S. Senators Ben Ray Luján (D-N.M.), Richard Blumenthal (D-Conn.), and Ron Wyden (D-Ore.) wrote to CEOs of Grubhub, Uber Eats, and Doordash urging for more transparency on junk fees, a misleading and harmful price gouging practice directed at consumers and small businesses. With 16% of Americans who rely on income from an online gig platform, many small businesses struggling to stay open, and many vulnerable Americans who depended on food delivery apps during the COVID-19 pandemic, Congress has a responsibility to ensure consumers, workers, and restaurants that rely on those applications have access to a fair and transparent marketplace.
In their letter, the Senators are seeking clarification on the current practices of food delivery services that relate to fees, payments to businesses, consumer disclosures, and compensation for delivery workers.
“Food delivery apps play an important role in many Americans’ lives, and they experienced massive growth during the pandemic. Unfortunately, the industry has been regularly accused of unfair and deceptive practices,” wrote the Senators. “Consumers should not have to work through a confusing fee structure, deceptive offers and discounts, and potentially inflated prices while attempting to order a meal and support local businesses.”