Food delivery apps settle Arizona lawsuit; end promotions based on race

Food delivery apps settle discrimination claims in Arizona

The Arizona attorney general claimed that when Door Dash, Uber Eats, and Postmates waived delivery fees for Black owned businesses, it violated the state's civil rights act.

PHOENIX - Arizona's attorney general has reached a settlement with third-party delivery apps over allegations of racial discrimination for waiving fees for Black-owned restaurants.

Attorney General Mark Brnovich announced June 2 that his office has settled civil rights cases with Uber Eats, Postmates, and DoorDash.

In a response to a nationwide movement over racial justice, all three companies last year are accused of not charging delivery fees to Black-owned restaurants in Arizona.

Brnovich's office argued this practice unfairly discriminated against non-Black restaurant owners and their customers, violating the Arizona Civil Rights Act. His office filed charges in November.

"Even with the best of intentions, corporations can do the wrong thing. Altering the price of goods or services based on race is illegal," Brnovich said in a statement.

The delivery companies did not admit to violating any laws but wanted to avoid long and costly litigation, according to the agreement. But under the terms of the agreement, they will revise their policies. They will no longer offer discounts, promotion or other monetary incentives based on restaurant owner's race, nationality, religion or gender.