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        <title><![CDATA[City Council moves to extend food delivery caps on Grubhub, UberEats]]></title>
        <atom:link href="https://usagag.com/2020/08/06/city-council-moves-to-extend-food-delivery-caps-on-grubhub-ubereats/" rel="self" type="application/rss+xml" />
        <link>https://usagag.com/2020/08/06/city-council-moves-to-extend-food-delivery-caps-on-grubhub-ubereats/</link>
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            <media:title type="html">City Council moves to extend food delivery caps on Grubhub, UberEats</media:title>
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        <content:encoded><![CDATA[<p>Food-delivery companies like Grubhub and UberEats can expect their margins to get squeezed in the Big Apple for a while longer, The Post has learned.</p><p>City Council members are slated to meet Aug. 13 to extend emergency legislation that caps the commissions and delivery fees those companies charge restaurants. <strong>Passed in May</strong>, the strict rules are set to expire in mid-September.</p><p>The temporary legislation was aimed at giving struggling restaurants a reprieve during the pandemic from hefty fees that can be as much as 40 percent of a takeout order.</p><p>The council’s small business committee will meet next week to discuss extending the 20-percent cap &#8212; including 5 percent for marketing fees and 15 percent for delivery fees &#8212; to 90 days after restaurants are allowed to serve diners indoors at 100 percent capacity, a source familiar with the proposals told The Post.</p><p>In all likelihood that won’t happen until 2021, the source told The Post.</p><p>The committee also wants to extend a temporary moratorium on charging restaurants for telephone calls that never resulted in a food order — <strong>a practice first reported by The Post</strong> that Grubhub came under fire for last year.</p><p>Grubhub has in the past threatened legal action over this issue, alleging that the City Council is overstepping its authority.</p>]]></content:encoded>
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