Grubhub to pay $25 million in FTC settlement over harmful practices against diners, workers

Grubhub has agreed to pay $25 million to settle a lawsuit from the Federal Trade Commission (FTC) and Illinois Attorney General Kwame Raoul over alleged deceptive practices.

The company was accused of misleading diners about delivery costs, blocking access to customer accounts, deceiving drivers about earnings, and listing unaffiliated restaurants without permission.

Grubhub allegedly added hidden fees, such as “service” and “small order” fees, and listed unaffiliated restaurants, damaging their reputations.

As part of the settlement, Grubhub will end these practices, improve transparency, and stop adding surprise fees, CNBC has reported.

read more: https://www.cnbc.com/2024/12/17/grubhub-ftc-settlement-harmful-practices-diners-workers.html

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