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A00784 Summary:

BILL NO	A00784
SAME AS	SAME AS S03225
SPONSOR	McDonald
COSPNSR	Fahy, Woerner
MLTSPNSR
Add §391-v, Gen Bus L
Prohibits unauthorized listing of food places on the application and/or website of food delivery platforms.

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A00784 Memo:

NEW YORK STATE ASSEMBLY
MEMORANDUM IN SUPPORT OF LEGISLATION
 submitted in accordance with Assembly Rule III, Sec 1(f)



 
BILL NUMBER: A784
 
SPONSOR: McDonald

 
TITLE OF BILL:
 
An act to amend the general business law, in relation to prohibiting
unauthorized listing of food places on the application and/or website of
food delivery platforms
 
 
PURPOSE OR GENERAL IDEA OF BILL:
 
To prohibit third-party delivery applications from engaging in the
deceptive practice of listing restaurants on their applications without
a written agreement and contract with a restaurant.
 
 
SUMMARY OF PROVISIONS:
 
Section 1: Establishes the Consumer Transparency and Fairness Act.
Provides the definitions of food delivery platform as third party deliv-
ery applications and food places as restaurants as established in the
public health law. The section also prohibits food delivery platforms
from listing a food place on their app without consent and provides a
penalty for refusing to remove a restaurant listing after the restaurant
has requested removal.
 
Section 2: Establishes the effective date
 
 
JUSTIFICATION:
 
An issue that has arisen with the rise of usage of third-party food
delivery applications during the COVID-19 pandemic has been the unscru-
pulous practice by third-party food delivery application companies of
listing restaurants on their applications and websites as being a
participating restaurant when in fact they are not a partner and in some
cases have expressed refused to contract with and partner with the
third-party food delivery company. This results in confusion for the
consumer when an order is not fulfilled or unexpectedly cancelled and
additional work, for the restaurant to address the myriad issues that
result from these orders.
 
 
PRIOR LEGISLATIVE HISTORY:
 
2019-20: A.11130
 
 
FISCAL IMPLICATIONS:
 
None to the State.
 
 
EFFECTIVE DATE:
This act shall take effect immediately.

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