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Update: DoorDash, Uber Settle NYC Lawsuit Over Restaurant Charges
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Update: DoorDash, Uber Settle NYC Lawsuit Over Restaurant Charges
Jun 6, 2025 5:30 AM

08:02 AM EDT, 06/06/2025 (MT Newswires) -- (Updates with Uber ( UBER ) and DoorDash's ( DASH ) responses in the fourth and fifth paragraphs.)

DoorDash ( DASH ) , Uber (UBER) Eats, and Grubhub settled lawsuits against the city of New York over laws that increased minimum wages for delivery personnel and limited how much they could charge restaurants, news outlets reported Thursday.

Under the terms of the settlement, the companies can sometimes charge restaurants more than the current law; in exchange, they agreed to drop their lawsuits and not refile them, Reuters reported.

The companies will continue to have to pay workers a minimum hourly rate of $21.44 before tips, up from $5.39 previously, the report said.

Uber ( UBER ) described the settlement as a move away from pandemic-era price controls. "This settlement is a win for small restaurants, who now have freedom in choosing advertising and marketing services; a win for taxpayers, no longer facing hundreds of millions in potential damages; and a win for delivery workers, who will benefit from more delivery orders," Josh Gold, a spokesman for Uber ( UBER ), said in a statement emailed to MT Newswires Friday.

A DoorDash ( DASH ) spokesperson praised the settlement as a step to "creating a more sustainable future for local restaurants and leveling the playing field for delivery workers throughout New York City."

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