Food delivery apps sued over increasing restaurant prices during COVID-19
A group of New Yorker consumers sued GrubHub, DoorDash, Postmates, and UberEats for using their market power to stop restaurants from discounting meals to clients who make orders directly. In the class action filed in Manhattan federal court, consumers claimed that the companies breached US antitrust law by demanding restaurants to charge delivery and dine-in clients the same price. Delivery apps impose fees of 10% to 40% of the order to process delivery orders. This policy makes restaurants increase their prices even for orders placed directly without the intermediation of the delivery apps.