Chicago Reaches Multi-Million Dollar Settlement With Postmates, Uber Eats

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Uber has recently agreed to a settlement with the City of Chicago that encompasses legal issues with listing local restaurants on their platform without the restaurants' written consent. According to Chicago Crusader, Uber paid $3,331,892 to restaurants that were unknowingly charged "commissions" due to being listed on Uber Eats and Postmates in 2021.

“Today’s settlement reflects the City’s commitment to creating a fair and honest marketplace that protects both consumers and businesses from unlawful conduct,” Chicago Crusader obtained in a statement from Mayor Lori Lightfoot. “Chicago’s restaurant owners and workers work diligently to build their reputations and serve our residents and visitors. That’s why our hospitality industry is so critical to our economy, and it only works when there is transparency and fair pricing. There is no room for deceptive and unfair practices.”

Chicago Crusader mentioned that Uber still owes a large amount of money to the city and its restaurants in the form of investigation fees, commision waivers, and charges that exceeded limits "set by the City’s emergency fee cap."

“We welcome any relief provided to the independent restaurants that struggled throughout the pandemic and continue to shoulder the rising costs of doing business,” Illinois Restaurant Association President and CEO Sam Toia shared with Chicago Crusader. “No third party delivery company should be listing restaurants without their consent, and all third party companies should have been following the emergency cap imposed during the pandemic. Our restaurants will receive immediate benefit from this settlement.”

Those impacted by the settlement are asked to visit chicago.gov and fill out the forms to receive "financial relief."


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