Wednesday, December 16, 2020
Officials in Baltimore may limit the amount of fees that third-party food delivery services can collect.
The Baltimore Sun reported Wednesday that the Baltimore City Council would bar popular apps such as DoorDash and Grubhub from collecting more than 15% in fees under new legislation that is to be introduced.
The popular apps, which also include Postmates and Uber Eats, typically take commissions from restaurants that are around 30% of the total costs of orders.
The proposed bill was written by Democratic Councilman Eric Costello. He said a limit on such fees is critical because of the city’s ban on indoor and outdoor dining that went into effect Friday in an effort to stop the coronavirus’s spread.
Restaurants across the nation have urged customers to order directly to support local businesses amid the pandemic.
If the legislation passes, Baltimore would join cities such as San Francisco. It imposed a temporary 15% cap on third-party delivery fees via an emergency order from the mayor. The cap has been extended several times.