The Canadian Competition Bureau is suing DoorDash and its Canadian subsidiary. The app has reportedly been marketing its services at a lower price than what customers end up paying.
The Competition Bureau led an investigation that found DoorDash customers were unable to buy food and other items at the price that DoorDash had on its website and mobile app, and faced additional fees added at checkout. The extra charges found included charges from service and delivery fees, charges for distance and smaller orders. Sometimes the charges were claimed to be taxes, and essentially caused customers to pay more.
The bureau claims that DoorDash has been using this for close to a decade, making nearly $1 billion from mandatory fees paid.
The Competition Bureau wants DoorDash to stop doing this, end its extra taxes, pay a penalty and issue restitution to affected customers. However, DoorDash says that it does not hide fees from customers or mislead them in any way.
Source: CityNews
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