10% Delivery Fee Cap and More Important

By NYC Hospitality Alliance

As we reported earlier this week, legislation we advocated for was introduced in the City Council that if enacted will suspend personal liability in commercial leases, provide for penalties related the tenant harassment, and waive sidewalk café fees.

Delivery Fee Cap and More
Now, we're happy to announce that the City Council will host a Zoom public hearing on April 29th on more legislation we've been fighting for that would cap third-party delivery fees at 10%, allow restaurants to disclose third party fees to consumers and charge different prices on different platforms, and regulate the industry in additional ways. There are a few delivery related bills we have concerns with about certain disclosures related to delivery worker gratuities, requiring tamper proof packaging, etc. The Alliance will testify on this package of legislation at next week's hearing. Overall, this is really great news! Thank you to everyone who contacted their elected officials and urged them cap delivery fees at 10%.
Hazard Pay and "Just Cause"
Legislation was also introduced in the City Council that would mandate hazard pay of up to $75 per shift for workers employed at essential businesses, like certain restaurants during the state of emergency, and provide "just cause" rights for essential workers, effectively prohibiting employers from terminating employees without meeting complicated requirements. While well intended, we have significant concerns with both bills, which we oppose.
The NYC Hospitality Alliance will keep you up-to-date on all these matters and will NOT STOP fighting for our industry.
The following is list of the proposed bills with a brief description and links to the full legislative text.
  • Int 1846, This bill would require certain NYC businesses to disclose information about how gratuities are provided to their delivery workers regarding online orders of goods.
  • Int 1895, This bill would require that food packaged by restaurants for delivery includes tamper-evident packaging.
  • Int 1896, This bill would require that third-party delivery services providing restaurants with online orders and delivery services disclose to consumers any commission, fees, or other monetary payments imposed on participating restaurants.
  • Int 1897, This bill would require certain third-party food delivery services to obtain a license in order to provide their service to restaurants in the City.
  • Int 1898, This bill would prohibit third-party delivery services providing restaurants with online orders and delivery services from charging restaurants for telephone orders with customers that did not actually occur.
  • Int 1907, This bill would prohibit third-party food delivery services from limiting the menu prices restaurants may charge on food and beverage orders.
  • Int 1908-A, This bill would prohibit certain third-party food delivery services from charging restaurants more than a 10% fee per order for the use of their service.
  • Int 1914, This bill would make threatening a commercial tenant based on their status as a COVID-19 impacted business or person a form of harassment punishable by a civil penalty of $10,000 to $50,000. 
  • Int 1916, This bill requires the Department of Consumer Affairs to waive and/or refund all fees due in the year 2020 related to sidewalk café licenses.
  • Int 1921, This bill requires food service establishments and third-party food delivery services to post sanitary inspection grades on their websites or other online platforms.
  • Int 1932, This bill would prohibit the enforcement of personal liability provisions in commercial leases or rental agreements involving a COVID-19 impacted tenant where the default or other trigger event happened during the COVID-19 state of emergency.
  • Int. 1918, The bill will require employers with more than 100 employees pay to hourly workers $30 for a shift under four hours, $60 for a shift of four to eight hours and $75 dollars for any shift over eight hours. The obligation would end when the state of emergency is lifted.
  • Int. 1923, The bill will prohibit all hiring parties of essential workers from firing those workers without just cause.

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