The SLA on Wednesday adopted new rules that will require New York restaurants with a liquor license to add up all the fees a delivery company charges them each year to ensure the they don’t exceed 10 percent of the restaurant’s annual revenue.
If the fees exceed 10 percent of the restaurant’s annual revenues, the delivery company will need to be added to the restaurant’s liquor license.
The issue came to a head in 2019 when the regulatory agency held hearings on food delivery app fees that ranged from 15 percent to 30 percent of each order, raising questions about whether these companies are violating the SLA’s rules.
Many restaurateurs expected the agency to resolve the issue by capping fees at 10 percent of each order, akin to the exception made for landlords. Alternatively, the SLA might have ordered food delivery apps to adapt a flat fee for NY restaurants with a liquor license.
Neither the delivery companies or the restaurants are happy now.