Cleveland Caps Fees Charged To Restaurants For Delivery

(Cleveland) - Food delivery services such as Grubhub, Uber Eats, and DoorDash can charge restaurants in Cleveland no more than 15% of the total bill. Cleveland City Council approved an ordinance Wednesday that calls for the cap during the COVID-19 pandemic.

With capacity limits on restaurants due to the pandemic, many establishments are staying afloat by offering delivery. However, some restaurants have said they've been charged as much as 30% or more, and that cuts into their slim profit margins.

Under the ordinance, the fees charged by the delivery companies can be no higher than 15% of the total bill, and the cap would be lifted 90 days after the state removes restaurant capacities. Cleveland Mayor Frank Jackson must sign the ordinance into law. The ordinance also prohibits the delivery services from making up for the difference by cutting what is paid to the driver.

(Photo by Wojtek Radwanski, Getty Images)

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