Amended by Stats. 2025, Ch. 341, Sec. 1. (AB 578) Effective January 1, 2026.
(a)It is unlawful for a food delivery platform to do any of the following:
(1)Charge a customer any purchase price for food or beverage that is higher than the price posted on the food delivery platform’s internet website by the food facility at the time of the order.
(2)Retain any portion of amounts designated as a tip or gratuity. Any tip or gratuity for a delivery order shall be paid by a food delivery platform, in its entirety, to the person delivering the food or beverage. Any tip or gratuity for a pickup order shall be paid by a food delivery platform, in its entirety, to the food facility.
(3)Maintain a payment model that uses any amount designated as tips or gratuity to offset the base pay to the person delivering the food or beverage.
(b)A food delivery platform shall prominently disclose to the customer and to the food facility an accurate, clearly identified, and itemized cost breakdown of each transaction, including, but not limited to, all of the following information:
(1)The purchase price of the food and beverage.
(2)A notice, if applicable, that the food delivery platform charges a fee, commission, or cost to the food facility, unless the food facility directs that the food delivery platform disclose to customers the delivery fee
charged to the food facility and each fee, commission, or cost charged to the food facility.
(3)Each fee, commission, and any other cost charged to the customer by the food delivery platform.
(4)Any tip or gratuity payable to the delivery driver or food facility.
(c)A food delivery platform shall prominently disclose to the person delivering the food or beverage an accurate, clearly identified, and itemized breakdown of the pay received for a delivery, including, but not limited to, the base pay, gratuity or tips, and any promotional bonuses.
(d)(1) A listing website shall not associate a telephone number or other method of
direct communication with a food facility on the listing website’s internet website or application if the listing website knows the use of that telephone number or other method of direct communication will result in a forwarded call.
(2)A listing website shall clearly and conspicuously disclose if an order placed through a telephone number or other interface on the listing website’s internet website or application may result in a fee, commission, or cost paid to a party other than the food facility and shall identify that other party.
(e)A food delivery platform shall clearly and regularly disclose to the food facility and the customer the status of the order, including all of the following:
(1)The method of delivery.
(2)The anticipated date and time of the delivery of the order.
(3)Confirmation that the order has been successfully delivered or that the delivery cannot be completed.
(f)A food delivery platform shall include a clear and conspicuous customer service feature that allows a customer to contact a natural person. The food delivery platform may use an automated system to address customer service concerns. However, if the automated system is unable to address the customer’s concerns, the food delivery platform shall ensure that the customer is able to promptly connect with the natural person in order to address the concern.
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