Ridesharing Forum was right there in the middle of the action when Grubhub was put in very hot water, getting accused of misleading customers in California about delivery charges, service fees, and menu prices. Complainants are saying the food delivery app violated protection laws.
Here’s the twist: Grubhub is agreeing to pay the $5 million compensation for this class action lawsuit, but it is never admitting or yielding to the alleged wrongdoing.
Fair enough? Fair enough. Those entitled to getting paid compensation are California residents who placed at the very least a single online delivery order with Grubhub or its sister app Seamless between January 2019 and January 2026. This class action lawsuit was submitted to the Superior County of California. Those seeking compensation have until March 30th to opt out of this rule.
If they pursue the application, class members are qualified to receive a $10 Grubhub credit for use on the website or mobile app. It looks smaller than your usual coupons, but these are actually huge since it is coming from a lawsuit settlement. Also, if claims do exceed the $5 million fund, credits are to get reduced in proportion.
Should Grubhub admit to the “wrongdoing,” it is not alone. DoorDash and Uber Eats have also been accused of the same. Similarly, Uber Eats in 2022 agreed to pay the $10 million settlement but for the “wrongdoing” of listing restaurants without official permission. DoorDash, meanwhile, faced complaints over “miscalculated fees,” from a certain restaurant in the Big Apple.
Likewise, this isn’t historic as Grubhub previously faced legal action for alleged misleading practices. Those complaints came from both consumers and businesses. Like Uber Eats, Grubhub was also accused of adding restaurants to the platform without permission. In 2022, Grubhub was blamed for deception, but eventually paid the $25 million settlement from the investigation.
A hearing over that particular lawsuit requiring the $5 million fees is yet to take place. Grubhub is a platform where you can order your cravings in just a few taps. You may track your order to make sure they will arrive at your doorsteps on due time. For more food delivery news and updates, sign up for your account here on Ridesharing Forum. This site is waiting for you and your freshest ideas.