Business & Tech
Del Ray Restaurant Seeks Lower Fee Cap For Third Party Deliveries
Hops N Shine is petitioning the governor to lower the cap on third-party delivery fees in Virginia.
ALEXANDRIA, VA — A restaurant in Del Ray started a petition to lower the commission fee cap from third-party delivery services like Grubhub and DoorDash.
Hops N Shine managing partner C.J. Cross started the petition on behalf of the restaurant and its staff. The petition calls for the current 30 percent commission fee cap to be lowered through an executive order by Gov. Ralph Northam.
The petition cites action taken in DC to curb the commission fees charged to restaurants. In May, Washington City Paper reported that DC Mayor Muriel Bowser signed legislation that caps the commission fee at 15 percent.
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Cross said the 30-percent commission fee is difficult for business owners in normal times and is worse while sales are down during the COVID-19 pandemic.
"While we appreciate the services provided by these companies, we feel as if some may be taking advantage of the circumstances through the implementation of exorbitant commission fees, and that a discussion should be held to help establish a middle ground," the petition states. "Speaking from our restaurant’s perspective, I can tell you we will soon no longer have the resources necessary to accommodate meal deliveries."
Find out what's happening in Del Rayfor free with the latest updates from Patch.
Cross said Hops N Shine will rely more on third-party deliveries during winter months as the outdoor patio closing and COVID-19 restrictions limiting the service the restaurant can provide. Under the governor's reopening guidelines, restaurants must follow physical distancing requirements for seating and cannot sell alcohol after 10 p.m.
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