Uber to pay millions to Chicago restaurants in settlement agreement with city

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Uber to pay millions to Chicago restaurants in settlement agreement with city
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The settlement results from a two-year investigation by the city into alleged misconduct on Uber’s meal delivery platforms.

The city said in a news release Monday that after reaching out to the company in 2021, Uber removed all restaurants from its platforms that had been listed without consent and agreed not to list Chicago restaurants without their consent in the future. At that time, Uber also paid $3.3 million to restaurants that were allegedly charged commissions higher than the 15% allowed in the city’s emergency fee cap ordinance.

The city also alleges Uber participated in deceptive advertising practices, such as falsely advertising that certain subscribers would receive free deliveries or that some merchants were “exclusive” to its platforms. Uber denies those allegations and maintains it accurately advertised merchants as being “exclusive” to its platforms, according to the settlement agreement.

“This settlement does nothing to change the basic fact of the matter, and we will continue to vigorously defend ourselves before the court,” the spokesperson said.In a statement on the Uber settlement Monday, Chicago Mayor Lori Lightfoot said “Chicago’s restaurant owners and workers work diligently to build their reputations and serve our residents and visitors. That’s why our hospitality industry is so critical to our economy, and it only works when there is transparency and fair pricing.

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