Third-Party Delivery App Lawsuit A GO

by | Jun 17, 2022 | blog, Business, Industry News, Legislation, National Restaurant Consultants | 0 comments

Big news for restaurant owner-operators involved in the most recent lawsuit against third-party delivery apps, such as GrubHub. The antitrust suit, originally claiming that third-party apps had a pricing monopoly, was paused when the delivery apps applied for a dismissal. Now, a judged has ruled that the lawsuit can progress, and plaintiffs will fight third-party app anti-compete pricing, which has prevented restaurants from listing menu items at lower prices elsewhere, appealing to customers hoping to avoid third-party delivery fees.

Nation’s Restaurant News has the full story here. 

This is not the first lawsuit brought against third-party delivery applications, which exploded during the pandemic, when restaurants were struggling and relied on such services.

On whether or not third-party apps are useful to restaurant owner-operators, our restaurant consultants say, they’re sustaining for the foreseeable future. NRC owner Richard Weil adds, “The unfortunate reality is that restaurants and consumers have been caught in the middle of all the legal challenges. Organizations have been involved for months, even years, with eventual resolutions tied-up in the court system.” But no matter your thoughts on third-party delivery companies, the consumer is demanding the convenience of quality food delivered to their door step in a timely fashion. 

National Restaurant Consultants will continue to follow the lawsuit and any developments with third-party apps.

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