“Abusive” charges: class action against delivery services

Deeming “abusive” and “exorbitant” the fees demanded by delivery platforms like Uber Eats, DoorDash and Skip the Dishes, a restaurant owner has just filed a class action request in Montreal. He also wants a cap to be imposed on commissions payable by restaurants.

On Friday, lawyer Joey Zukran of LPC Avocats filed a motion in Superior Court on behalf of the restaurant Deli Boyz.

  • Listen to the interview with Me Joey Zukran on QUB radio

The official, Emmanuel Darmond, believes that the delivery giants are today “an essential tool” for those wanting to survive during containment, which was not necessarily the case before the pandemic.

“With their millions of dollars in promotion, restaurant owners certainly do not have the same power. […] These platforms are becoming essential today, ”says the man who tried to set up his own delivery service, but to no avail. “It would have a mega-impact, for us, to reduce commission costs,” he adds.

  • Listen to Chef Danny St Pierre’s column on QUB radio

For example, between December 27 and January 4, Deli Boyz had to pay Uber Eats $ 737.17 for 67 orders, which billed as $ 2,449.76 before taxes. This is a commission rate of 30%.

According to documents filed in court, it was Uber Eats which imposed its contractual conditions on Deli Boyz. Me Zukran is of the opinion that this clause concerning delivery costs is “abusive”, especially in a period of pandemic when deliveries have skyrocketed.

The class action targets all restaurateurs in Quebec who, since January 8, 2018, have paid a commission greater than 15% of the cost of an order. She is claiming damages equal to the costs of more than 15% paid by restaurants, as well as a ceiling for delivery costs.

For Deli Boyz, if the class action is authorized, it would represent damages of $ 369.71 for the period from December 27 to January 4. Management states that, for the entire period covered by the action, the invoice would be “tens of thousands of dollars”.

In recent days, the Association des restaurateurs du Québec and several restaurant owners have also come out publicly to ask the Legault government to regulate “the exorbitant fees” demanded by certain delivery companies.

Even the mayoress of Montreal, Valérie Plante, recently demanded in Quebec, in a post on Twitter, to impose a “temporary cap on these costs to ensure profitability for restaurateurs”.

This is what has been done in other Canadian provinces, such as Ontario and British Columbia, where delivery charges have been set at a maximum of 15% per order. An additional 5% may be imposed for other related services.

Until February 8, restaurateurs are the only ones able to deliver food and alcohol throughout Quebec during the curfew.

For its part, Uber says it supports “restaurants by stimulating demand with marketing campaigns, eliminating activation fees, introducing daily payment and offering flexible options such as taking out orders at 0%, 7.5% for making deliveries for orders taken directly from the restaurant’s website and 15% for taking orders for restaurants that have their delivery people ”.

In December, two class actions were also filed by lawyer Jimmy Lambert against the delivery platforms Uber Eats and DoorDash due to surprise fees charged during orders.

For more information on the class action, click here (https://lpclex.com/fr/resto/).

.

Leave a Comment

This site uses Akismet to reduce spam. Learn how your comment data is processed.