Food delivery companies in Denver must show all fees on receipts

Food delivery companies like Grubhub and Postmates in Denver must itemize their receipts so customers can clearly see how much they’re paying for food versus how much they’re paying for the delivery and all other fees attached to their order, the city council decided Monday.

The requirement is the council’s latest attempt to scrutinize and change the food service industry during the pandemic, when more people relied on delivery services.

In September, it limited the amount delivery companies are allowed to charge restaurants at up to 15% of the total bill — a temporary cap that expired Monday and came after some companies had charged restaurants up to 40% of the total bill.

To make up for the lost revenue, DoorDash launched a $2 “Denver Fee“. DoorDash (and its competitors) will have to show that fee, as well as any others fees or commissions they’re charging customers. The companies also must include a statement on receipts that explains restaurants pay the companies a fee or commission for each order.

The council approved the change unanimously and without comment and will take effect on Dec. 31.

A spokesperson for Grubhub said the company does not have hidden fees and all charges for customers are listed clearly on receipts.

Another regulation that the city council passed in May and will take effect July 1 is requiring restaurants and other businesses to ask customers whether they want single-use items like utensils or condiment packages with takeout orders rather than including them automatically.

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