“A bill to require third-party delivery platforms to follow certain pricing practices, and for other purposes.”
No CRS summary available for this bill.
This section defines key terms for purposes of the Act, including "(1) Commission" as the Federal Trade Commission; "(2) delivery fee" as any fee imposed by a third-party delivery platform on a user beyond charges a retail establishment would impose for the same items purchased in person (or beyond menu/retail prices if no in-person sales are offered); "(3) retail establishment" as a physical location (including restaurants) offering items for sale to in-person customers or via third-party platforms; and "(4) third-party delivery platform" as any website, app, or internet service primarily facilitating same-day delivery sales from independent retail establishments.
This section establishes pricing requirements for third-party delivery platforms (i.e., online services facilitating orders from retail establishments such as restaurants), making it unlawful to operate such a platform beginning 90 days after enactment unless it complies with the following: (1) delivery fees must be calculated via a methodology fixed no later than retail establishment selection (and unchanging thereafter), based solely on the retail establishment's total item price (excluding taxes and platform fees) and delivery factors such as distance, but excluding user characteristics (e.g., price sensitivity or purchasing history) or arrangements with the retail establishment; (2) upon item selection, prominently displaying the retail price (excluding taxes) and any applicable delivery fees for that item; (3) prominently displaying an ongoing total charge throughout the ordering process, including item costs, taxes, and fees; and (4) prior to payment, providing a clear explanation of each delivery fee, including its amount, purpose, related item, and refundability. This section does not restrict platforms from permitting gratuities.
This section establishes Federal Trade Commission (FTC) enforcement of this Act by treating violations as unfair or deceptive acts under the FTC Act (15 U.S.C. 41 et seq.), granting the FTC the same enforcement powers, jurisdiction, duties, penalties, privileges, and immunities as under that Act; requires the FTC to promulgate necessary regulations under the Administrative Procedure Act; and preserves other FTC authorities. It further authorizes state attorneys general to bring civil actions in federal or state court to enjoin violations, enforce compliance, obtain damages or restitution for state residents, or secure other relief—subject to prior written notice to the FTC (or simultaneous notice if infeasible, with FTC intervention rights)—while preserving state investigative powers, barring parallel state actions against FTC defendants, and specifying venue and service of process rules.