The Federal Trade Commission announced Tuesday that the food delivery app Grubhub will pay $25 million to settle charges brought by the agency and the Illinois attorney general over an array of issues.
Grubhub has agreed to pay $25 million to settle charges from the Federal Trade Commission (FTC) and the Illinois Attorney General. The company was accused of a laundry list of sketchy behavior, including misleading customers about delivery charges,
Grubhub has agreed to pay $25 million to settle a Federal Trade Commission lawsuit that claimed the food delivery service misled customers and drivers while also damaging the reputation of restaurants.
The charges stem from a multi-year investigation that revealed a pattern of misconduct by Grubhub. According to the FTC, the company misled diners about delivery costs, blocked users from accessing their accounts and funds, falsely advertised earnings to potential delivery drivers and listed restaurants on its platform without their consent.
Grubhub will pay $25 million to settle a lawsuit from the Federal Trade Commission and Illinois Attorney General Kwame Raoul over unlawful practices that harmed diners, workers and small businesses, the FTC announced on Tuesday.
The food delivery app company was accused of misleading customers about the cost of delivery and deceiving drivers about their potential earnings.
The Federal Trade Commission and the Illinois Attorney General alleged the company deceived customers with junk fees and added restaurants to the platform without permission.
The consumer protection agency accused the delivery company of misleading customers, restaurants and delivery workers and ordered it to make
Grubhub has agreed to pay $25 million and stop alleged practices including misleading consumers on feeds under a proposed settlement with the Federal Trade Commission.
The Chicago-based company is accused of tricking diners about delivery fees, misleading drivers about pay, and listing restaurants on its platform without permission.
If you’ve ever felt the sting of surprise fees when ordering takeout, booking a hotel or short-term rental, or purchasing concert tickets, relief is on the way. In 2025, three new actions from the Federal Trade Commission (FTC) promise to put more money ...