GrubHub Faces Consumer Fraud Class Action Lawsuit

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Santa Clara, CA: The food delivery app GrubHub Inc., is facing a proposed consumer fraud class action lawsuit over allegations its actual delivery fees are higher than advertised.

Filed by plaintiff Matthew Stockman in Illinois, the complaint states that when a consumer uses the GubHub app to scroll through the restaurant listings, GubHub shows a delivery fee for each location. However, when the customer selects a restaurant, that delivery fee allegedly increases.

According to the lawsuit, “While GrubHub purports to provide its delivery service for a stated price to customers, GrubHub systematically deceives its customers by increasing the delivery fee and charging consumers extra monies for the deliveries from restaurant orders placed through their mobile app. These heightened charges that are imposed on consumers stand in stark contrast to the delivery prices GrubHub affirmatively lists when it displays the list of available restaurants to consumers.”

The complaint states that this price change occurs after a customer taps on the restaurant they want to order from. The price changes “without clearly disclosing that fact to the consumer,” the lawsuit states. Further, the plaintiff states that GrubHub app doesn’t provide the consumer with an option to accept or change before they place their order.

The class action lawsuit is brought on behalf of all GrubHub customers who were charged a delivery fee higher than the advertised price on the GrubHub app. The plaintiffs alleges violations of the Illinois Consumer Fraud and Deceptive Business Practices Act.

Stockman is represented by Holly McCurdy, Celetha Chatman and Michael Wood of Community Lawyers Group Ltd.

The case is Matthew Stockman, et al. v. GrubHub Inc., case number 2017-CH-08812 in the Circuit Court of Cook County.

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