Senate Bill S565

2023-2024 Legislative Session

Relates to third-party food delivery service charges

download bill text pdf

Sponsored By

Current Bill Status - In Senate Committee Consumer Protection Committee


  • Introduced
    • In Committee Assembly
    • In Committee Senate
    • On Floor Calendar Assembly
    • On Floor Calendar Senate
    • Passed Assembly
    • Passed Senate
  • Delivered to Governor
  • Signed By Governor

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2023-S565 (ACTIVE) - Details

Current Committee:
Senate Consumer Protection
Law Section:
General Business Law
Laws Affected:
Add §391-z, Gen Bus L
Versions Introduced in 2021-2022 Legislative Session:
S1554

2023-S565 (ACTIVE) - Summary

Prohibits third-party food delivery services from charging a food service establishment a delivery fee or other fees that total more than a certain percent of the total purchase price of an online order.

2023-S565 (ACTIVE) - Sponsor Memo

2023-S565 (ACTIVE) - Bill Text download pdf

                             
                     S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                    565
 
                        2023-2024 Regular Sessions
 
                             I N  S E N A T E
 
                              January 5, 2023
                                ___________
 
 Introduced by Sens. KAVANAGH, BORRELLO, BROUK, COONEY, HOYLMAN, JACKSON,
   KRUEGER, PARKER -- read twice and ordered printed, and when printed to
   be committed to the Committee on Consumer Protection
 
 AN  ACT  to  amend  the general business law, in relation to third-party
   food delivery service charges

   THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND  ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section 1. The general business law is amended by adding a new section
 391-z to read as follows:
   § 391-Z. THIRD-PARTY FOOD DELIVERY SERVICE CHARGE. 1. FOR THE PURPOSES
 OF THIS SECTION, THE FOLLOWING TERMS SHALL HAVE THE FOLLOWING MEANINGS:
   (A)  "DELIVERY FEE" MEANS A FEE CHARGED BY A THIRD-PARTY FOOD DELIVERY
 SERVICE FOR PROVIDING A FOOD SERVICE ESTABLISHMENT WITH A  SERVICE  THAT
 DELIVERS  FOOD  FROM  SUCH ESTABLISHMENT TO CUSTOMERS. THE TERM DOES NOT
 INCLUDE ANY OTHER FEE THAT MAY BE CHARGED BY A THIRD-PARTY FOOD DELIVERY
 SERVICE TO A FOOD SERVICE ESTABLISHMENT, SUCH AS  FEES  FOR  LISTING  OR
 ADVERTISING  THE  FOOD  SERVICE  ESTABLISHMENT  ON  THE THIRD-PARTY FOOD
 DELIVERY SERVICE PLATFORM OR  FEES  RELATED  TO  PROCESSING  THE  ONLINE
 ORDER.
   (B)  "FOOD SERVICE ESTABLISHMENT" MEANS A PLACE WHERE FOOD IS PROVIDED
 FOR INDIVIDUAL PORTION SERVICE DIRECTLY TO  THE  CONSUMER  WHETHER  SUCH
 FOOD  IS PROVIDED FREE OF CHARGE OR SOLD, AND WHETHER CONSUMPTION OCCURS
 ON OR OFF THE PREMISES OR IS PROVIDED FROM A PUSHCART, STAND OR VEHICLE.
   (C) "ONLINE ORDER" MEANS ANY ORDER PLACED BY  A  CUSTOMER  THROUGH  OR
 WITH  THE ASSISTANCE OF A PLATFORM PROVIDED BY A THIRD-PARTY FOOD DELIV-
 ERY SERVICE, INCLUDING A TELEPHONE ORDER.
   (D) "PURCHASE PRICE" MEANS THE TOTAL PRICE OF THE ITEMS  CONTAINED  IN
 AN  ONLINE  ORDER THAT ARE LISTED ON THE MENU OF THE FOOD SERVICE ESTAB-
 LISHMENT WHERE SUCH ORDER IS PLACED. SUCH TERM DOES NOT  INCLUDE  TAXES,
 GRATUITIES  AND  ANY  OTHER  FEES THAT MAY MAKE UP THE TOTAL COST TO THE
 CUSTOMER OF AN ONLINE ORDER.
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
                                                            LBD01701-01-3
              

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