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Business Sep 25, 2020
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This illustration photo taken on June 30, 2020, shows the logo of delivery app Postmates on a smartphone screen in Los Angeles. (Chris Delmas / AFP / Getty Images) Two new California laws will require app-based delivery companies to more closely work with local restaurants before advertising their menu options and drivers to ensure the safety of meals while the orders are in transit. The laws signed by Gov. Gavin Newsom are the latest effort by state lawmakers to ratchet up oversight of an industry that has resisted attempts at regulation as it grows rapidly in size and profitability. The most far-reaching of the laws, signed by Newsom on Wednesday, requires companies such as DoorDash, Grub Hub, Postmates and Uber Eats to sign formal agreements with local restaurants before advertising food delivery to their customers. Its supporters say that restaurant owners might not know their food is being advertised or delivered by the app-based company, leaving the business susceptible to surprise complaints if customers are unhappy with the experience. “When Uber Eats, DoorDash and other gig companies operate under their own rules, businesses and consumers are harmed,” said Assemblywoman Lorena Gonzalez (D-San Diego), the bill’s author. Read the full […]
