New York City Legislation Would Cap Food Delivery Service Fees

The council approved the legislation Wednesday.
Posted at 4:35 PM, May 14, 2020

The New York City Council is looking to cap service fees for food delivery companies like Grubhub and Uber Eats at 15% during a state of emergency when restaurants can't serve on-site.

The council approved the legislation Wednesday. According to CNBC, it would also cap fees for other types of charges at 5%. The outlet reports the caps would extend 90 days after the state of emergency has ended. 

The legislation now heads to Mayor Bill de Blasio for approval. It's anticipated to provide some financial relief to the restaurant industry, which continues to struggle immensely amid the COVID-19 outbreak. 

According to CNBC, San Francisco, Seattle and Washington, D.C., among others, have already approved similar rules.

Contains footage from CNN.