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Los Angeles Delivers on Takeout Fee Cap

(LA Trend) — Good news for takeout lovers: Los Angeles City Council voted to extend the 15 percent delivery cap on takeout orders placed on third-party apps. In May, City Council instituted a fee cap on delivery from apps like GrubHub and Seamless in an effort to boost restaurant sales while mitigating risk to diners and staff. Previous to this ordinance, delivery fees hovered around 30 percent

“With this temporary cap on delivery fees, Los Angeles is helping save local restaurants and keep their workers on the job during this economic upheaval,” Mayor Garcetti said in a press release. “More Angelenos are ordering restaurant delivery and takeout due to the coronavirus, and this legislation will prevent delivery app companies from charging excessive commissions so restaurants can stay in business.”

Last week, Los Angeles City Council unanimously voted to extend the delivery cap to 90 days after restaurants can operate at full capacity. A date that is hopefully in the not-too-distant future.

Despite the seeming victory, a report by L.A.’s chief legislative analyst found that 72 percent of restaurants were still being overcharged for delivery fees between July 29 to August 10. It seems that the most surefire way to support local restaurants may be to call in your order directly.

 

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