GroupHub Possible class action after being prosecuted by two Restaurants This is because the digital food distribution company is said to have added their companies to its service without permission.
The Complaint – Filed by Hillsboro, Antonia in NC and Farmer’s Wife in Sebastopol, California – This was done on behalf of the 150,000 non-partner restaurants added to the GroupHub since 2019.
The restaurants sued in federal court in Chicago on Monday.
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The Plaintiff’s attorneys, Gibbs Law Firm, Mention it on its web site “By adding the names and logos of restaurants on its website without authorization, the Group will confuse consumers and harm the reputation and business operations of restaurants.”
The lawsuit alleges that if someone from a non-partner restaurant in GroupHub is ordered to deliver, the company places its drivers directly with restaurants and pretends to pick up customers when they pick up Food.
GroupHub told Fox Business that the company has not commented on pending cases.
Tortash Delivery — the only restaurant in partnership with the San Francisco brand.
GroupHub is not the only food distribution company that adds non-partner restaurants to its use. GroupHub began this training in order to keep in touch with rivals Tortesh and Postmate.
Ticker | Security | Last | Change | Change% |
---|---|---|---|---|
GRUB | GRUBHUB INC | 74.76 | -0.73 | -0.97% |
But those companies also faced legal action for posting information of non-partner restaurants on their sites.
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Last month, Dor Dash was prosecuted This is because it misrepresents information about the St. Louis-based restaurant, which is said to be closed or too far away for delivery when customers try to place an order from the establishment.
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Restaurant Dive reports that Door Dash was prosecuted in 2015 for using the restaurant chain’s name and logo without permission.
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Some states are taking action. From January delivery applications will not be allowed to include non-partner restaurants in California. Fair food distribution law In law in September.
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