What's happening
This bill prohibits internet-based food delivery services from charging fees to local restaurants and customers during the COVID-19 emergency.
Why it matters
Reduces financial pressure on local restaurants. by eliminating third-party delivery fees during a period when dine-in business is restricted, helping more small businesses survive the pandemic.
May improve customer access to food delivery. since customers are not charged extra fees, potentially making takeout and delivery more affordable during the COVID-19 emergency.
Shifts the economic burden to delivery platforms. companies like Grubhub, DoorDash, or Uber Eats would have to absorb the loss of revenue from fees, which could affect their business models or services.
Temporary intervention with a clear end date. (expires December 31, 2021), signaling a targeted response meant to address emergency-specific hardships rather than a permanent change to the food delivery industry.
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Who cares
Headline styles
Ban Delivery App Fees
Plain English, a few words. Used as the page title.
Sponsors
No co-sponsors yet.
History
- Referred to consumer affairs and protection
Full text
1 pageUnderlined is new[Struck] is removedOfficial text on nysenate.gov ↗
STATE OF NEW YORK
10408
IN ASSEMBLY
May 4, 2020
Introduced by M. of A. L. ROSENTHAL -- read once and referred to the Committee on Consumer Affairs and Protection
AN ACT to amend the general business law, in relation to prohibiting internet-based food delivery service providers from charging local restaurants and customers a fee for services during the COVID-19 pandemic; and providing for the repeal of such provisions upon expiration thereof
The People of the State of New York, represented in Senate and Assembly, do enact as follows:
Section 1. The general business law is amended by adding a new section 391-v to read as follows:
§ 391-v. Food delivery service charges to restaurants during COVID-19. 1. Internet-based food delivery service providers offering delivery services in conjunction with any local restaurants in this state shall not charge such restaurants or customers of such restaurants any commission, fee, or other charge for offering such services until the end of the state of disaster emergency declared by the governor pursuant to article two-B of the executive law in response to the novel coronavirus, COVID-19, pandemic.
2. For the purposes of this section, "internet-based food delivery service provider" shall mean any third-party platform which provides online and mobile food ordering and delivery services in conjunction with local restaurants to deliver food from such local restaurants to customers.
§ 2. This act shall take effect immediately and shall expire December 31, 2021 when upon such date the provisions of this act shall be deemed repealed.
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD16298-02-0
Reflowed for reading: line numbers and page breaks removed. Cite the official text.
Summaries, headlines and scores are AI-generated from the official bill text. How we score bills. Source: NYS Open Legislation.