Proposed Law Would Regulate Third-Party Food Service Delivery Fees
(Schenectady, NY) Schenectady County Legislators Jeff McDonald (District 2), Cathy Gatta (District 3) and Sara Mae Pratt (District 3) introduced the “Schenectady County Food Delivery Services” Law, proposed Local Law I of 2020. The law would limit fees charged by third-party food delivery services during states of emergency that expressly limit on-premise dining at food service establishments within the County.
The proposed law will be introduced during the legislature’s meeting on Monday, December 21, 2020.
“The hospitality sector has faced so many challenges due to the COVID-19 pandemic,” said Schenectady County Legislator Jeff McDonald. “This law can help our local restaurants better weather the storm while they aren’t able to operate as they normally would, and it also protects the drivers putting themselves in harm’s way to deliver orders.”
“This local law is only in effect during a state of emergency in which the governor limits on-premise dining,” said Schenectady County Legislator Cathy Gatta. “It will help restaurants survive, which will also help protect the jobs of restaurant workers and ensure customers don’t face price gouging during an emergency.”
“Having worked in the restaurant industry, I know how challenging it can be to make ends meet, even during the best of times,” said Schenectady County Legislator Sara Mae Pratt. “Ordinarily, restaurants use food delivery services to supplement their income. Now more than ever, restaurants depend on these services to survive. At a time when government and health professionals at every level advise the public to stay home, we have an obligation to ensure everyone is protected.”
During states of emergency declared by the governor that expressly limit on-premise restaurant dining, Local Law I of 2020 would:
- Limit the fees charged to restaurants on a per-order basis to a maximum of 15 percent;
- Make it unlawful to increase any other fees charged to restaurants;
- Make it unlawful to reduce driver compensation;
- Make it unlawful to increase customer fees; and
- Allow those harmed to recoup their losses and attorney fees if they are victimized by a violation of this law.
View proposed Local Law I of 2020 at: www.schenectadycounty.com/legislature.