Gonzalez Bill to Provide Restaurants and Customers Transparency on Food Delivery App Orders Passes Senate Committee

For immediate release:

SACRAMENTO – (Tuesday, June 22, 2021) – Restaurants and customers have been kept in the dark about the prices food delivery companies like UberEats, GrubHub and DoorDash are actually charging for their services. Today, Assemblywoman’s Gonzalez’s AB 286 to require food delivery platforms to provide a clear, itemized cost breakdown of each transaction passed in the Senate Judiciary Committee. 
 
“Restaurants and customers have no way of knowing exactly what food delivery app companies are charging and how much is actually going to the business. In some cases, restaurant owners have reported actually losing money on orders placed on food delivery platforms,” Assemblywoman Gonzalez (D-San Diego) said. “This bill will make it easier for all parties involved in the transaction to see exactly what they are being charged.”
 
AB 286 would also provide further transparency by ensuring delivery drivers receive the full amount of their customer tips after completing an order –– an issue some drivers have reported continued even after the company they worked for promised to stop. A 2019 report in the New York Times revealed DoorDash was using customer tips to subsidize workers’ base pay, which was followed by the company agreeing to pay $2.5 million to settle a lawsuit alleging DoorDash kept customer tips that were intended to go to their delivery drivers. AB 286 clearly states that delivery workers are always entitled to the full amount of the tips and gratuities added by the customer.
 
For questions or to schedule an interview with Assemblywoman Gonzalez, contact Mike Blount: Mike.Blount@asm.ca.gov