DoorDash Hit With Major Lawsuit Over ‘Deceptive’ Pricing [Video]

DoorDash, America’s premier food delivery platform, has been sued by Canada’s competition authority for “allegedly advertising misleading prices and discounts.”

A DoorDash spokesperson said in a statement to Newsweek: “Transparency with customers is a top priority at DoorDash. All fees on DoorDash, which support the high-quality operations of our platform, are clearly labeled and disclosed to consumers throughout the ordering process—including a final review before payment. To be crystal clear, DoorDash does not hide fees from consumers or mislead them in any way.”

Why It Matters

This marks the second major lawsuit to face DoorDash this year, following a settlement of nearly $17 million over the misuse of driver tips in February. As well as potentially forcing the delivery firm to significantly alter its pricing practices, the latest action could force the company to pay a significantly higher penalty, as well as restitution to affected customers.