NYC Lawmakers Want Big Food Delivery App Fees To Go

NEW YORK CITY — Lawmakers hoping to deliver a fresh crack down on GrubHub and Seamless want the apps' heavy fees to go.

Legislation that would amp up regulations of food delivery apps in New York City was introduced in City Council Thursday, city records show.

"These delivery services that are threatening the survival of our local restaurants," testified City Council Member Francisco Moya. "This package of bills is designed to give restaurants a fighting chance."

The legislation, introduced by Moya and Council member Mark Gjonaj, would cap commissions at 10 percent, prohibit charges for phone orders that never happened and mandate the apps disclose commissions paid.

It would also allow restaurants to increase pricing on their online menus to help pay their app delivery fees, lawmakers said.

GrubHub — the company that owns both GrubHub and Seamless — did not immediately respond to Patch's request for comment but a spokesperson told the New York Post the cap "defies common sense."

“If you tell New York restaurants that they can only sell pizza for a quarter and coffee for a nickel, no one will serve pizza or coffee," the spokesperson said.

"Simply put, this bill will slash business to mom and pop restaurants and hurt consumers in the process.”