Grubhub customers and drivers to receive $23.8 million in settlement payments
The settlement resolves allegations that Grubhub misled drivers and diners and will require business changes, the FTC said.
- The Federal Trade Commission is distributing more than $23.8 million to 640,038 Grubhub drivers and customers following a settlement over deceptive business practices alleged against the food delivery platform.
- A 2024 lawsuit filed by the FTC and Illinois Attorney General Kwame Raoul alleged Grubhub deceived drivers about earnings potential and listed restaurants on its platform without their consent.
- According to the complaint, Grubhub advertised drivers could earn $26 hourly when the median driver earned $11 in 2023, while baiting customers with hidden fees labeled as 'service fees' or 'small order fees.'
- Grubhub agreed to pay $25 million while categorically denying allegations, and committed to improving transparency around platform fees, driver earnings, and restaurant listings on its platform.
- Recipients should monitor mail or PayPal for payments within 90 and 30 days respectively, and may contact Analytics Consulting LLC at 1-888-446-4992 with questions; the FTC warns legitimate refunds never require payment.
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Did you work for Grubhub or order food frequently? You might receive a refund soon
The FTC says more than 640,000 people are getting checks or PayPal payments after allegations Grubhub misled drivers and diners.
Grubhub customers and drivers to receive $23.8 million in settlement payments
Hundreds of thousands of Grubhub drivers and customers will soon receive payments totaling more than $23.8 million under a settlement agreement over allegations of deceptive practices.
FTC Refunds $23.8M to Grubhub Drivers and Diners
The Federal Trade Commission is sending more than $23.8 million to Grubhub drivers and diners it says were harmed by the food delivery company’s deceptive earnings claims and other unlawful conduct, the agency announced Aug. 12. The payments stem from a December 2024 lawsuit filed by the FTC and the Illinois Attorney General, which alleged […]
FTC Forces $23.8M Grubhub Refund for Drivers
The Federal Trade Commission (FTC) and the Illinois Attorney General have secured a major settlement with Grubhub after accusing the food delivery platform of deceptive business practices that allegedly harmed consumers, delivery drivers, and restaurants nationwide. Under the agreement, Grubhub will pay $25 million, with most of the money earmarked for consumer refunds, while also overhauling several of its business practices. The case marks one…
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