- Uber Technologies, Inc ABOVE reached a multimillion-dollar settlement with the City of Chicago over alleged government deception practices at UberEats and Postmates.
- Chicago’s investigation found that Uber listed restaurants without consent and charged excessive fees, according to The Wall Street Journal reports.
- The total of $10 million included a $3.3 million settlement made by Uber in Chicago in 2021 previously repaid to Chicago restaurants.
- Uber charged some restaurants commissions in excess of 15%, in violation of the city’s ordinance Limiting emergency charges during the pandemic.
- Uber agreed to pay an additional $2.3 million to restaurants to collect commissions above the limits set by the city.
- The meal delivery platform agreed to refund $500,000 to Chicago restaurants that were listed without their consent and did not have contracts with Uber.
- Uber would give an additional $2.5 million in commission waivers to restaurants listed on the platform without consent and lack of contracts with Uber.
- Uber removed all remaining Chicago restaurants listed on Uber’s platforms without their consent and agreed not to list any Chicago restaurants without their consent in the future.
- The pandemic has led to a significant shift from restaurants and takeaways to online platforms. Other cities, such as New York and San Francisco, set fee caps for delivery services.
- Uber held $4.9 billion Cash and Equivalents as at 30 September.
- Above reported revenue growth of 72% year over year to $8.34 billion in the third quarter of FY22. Mobility revenue increased to $3.82 billion (+73% Y/Y), delivery to $2.77 billion (+24% Y/Y) and freight to $1.75 billion ( 336%Y/Y).
- Price promotion: UBER shares traded 0.36% higher to $27.80 premarket on the latest check Tuesday.
- Photo via Wikimedia Commons
© 2022 Benzinga.de. Benzinga does not provide investment advice. All rights reserved.
[ad_2]
Source story
