Chicago sues DoorDash and Grubhub for allegedly shady business dealings – CNET [CNET]

DoorDash is called out for allegedly pocketing customer tips meant for restaurant delivery drivers. The company also imposed a misleading “Chicago fee” that was marketed as a donation to the city but actually went straight to DoorDash, according to the release. 

In response, a DoorDash representative told CNET the lawsuit is baseless. “It is a waste of taxpayer resources, and Chicagoans should be outraged,” they said. “DoorDash has stood with the City of Chicago throughout the pandemic, waiving fees for restaurants [and provided] $500,000 in direct grants.”

Grubhub’s response was equally combative. “We are deeply disappointed by Mayor Lightfoot’s decision to file this baseless lawsuit,” a company spokesperson said. “Every single allegation is categorically wrong and we will aggressively defend our business practices.”