NEW YORK (Legal Newsline) -- A New York bakery is the plaintiff in a recently filed class action lawsuit against GrubHub, Uber and DoorDash for not abiding fee caps.
Micheli & Shel, which operates an Israeli-style bakery in Manhattan, filed a complaint on June 7 in the U.S. District Court for the Southern District of New York for violation of local law No. 52, violation of local law No. 88 and declaratory relief.
According to the complaint, on June 2, 2020, Local Law No. 52 was passed that allowed a 20% cap on all fees that delivery app services could charge customers with a specific cap of 15% on all fees charged for delivery and a 5% cap on other fees. Local Law No. 88, effective Sept. 14, 2020, allowing for a “pass-through” costs, such as credit card fees, to be charged to the restaurant above the 15% and 5% fee caps.
Micheli & Shel, LLC alleges that GrubHub, Uber and DoorDash continued to charge customers in excess to the fee caps, or would charge just under the caps and charge more percentage in another fee category without clarifying what fee was for customers.
Micheli & Shel, LLC seeks injunctive relief prohibiting the delivery app companies from continuing to engage in unlawful actions, compensation and restitution of all earnings and profits to customers and attorney's fees and cost of suit. Micheli & Shel, LLC is represented by Hamutal G. Lieberman of Helbraun and Levey LLP.