Chapter 22.4 - Food Delivery Platforms

California Business and Professions Code — §§ 22598-22599.6

Sections (6)

Amended by Stats. 2024, Ch. 898, Sec. 1. (SB 1490) Effective January 1, 2025.

As used in this chapter:

(a)“Clearly and conspicuously” means in a font no smaller than boldface, 14-point type, clearly separate from any other language on the page. For an audio disclosure, “clearly and conspicuously” means in a volume and cadence sufficient to be readily audible and understandable.
(b)“Food delivery platform” means an online business that acts as an intermediary between consumers and multiple food facilities to submit food and beverage orders from a consumer to a participating food facility, and to arrange for, or to complete, the delivery of the order from the food facility to the consumer.
(c)“Food facility” means a food facility, as

defined in Section 113789 of the Health and Safety Code.

(d)“Forwarded call” means a communication made by a consumer and intended for a food facility, by telephone call or other means of communication, that has been routed by a food delivery platform, or a routing service under the direction of the food delivery platform, to the intended food facility.
(e)“Listing website” means an internet website or application that lists, or produces through search results, telephone numbers associated with food facilities, and that has 100,000,000 or more unique monthly visitors.
(f)“Online order” means an order for food or beverage placed by a customer through or with the assistance of a food delivery platform, including, but not limited to, a telephone order, for delivery.
(g)(1) “Purchase price” means the price, as listed on the menu, for the items contained in an online order.
(2)“Purchase price” does not include taxes, fees, commissions, or gratuities that may make up the total amount charged to the customer of an online order.

Amended by Stats. 2024, Ch. 898, Sec. 2. (SB 1490) Effective January 1, 2025.

(a)A food delivery platform shall not arrange for the delivery of an order from a food facility without first obtaining an agreement with the food facility expressly authorizing the food delivery platform to take orders and deliver meals prepared by the food facility.
(b)(1) Subject to paragraph (2), a food delivery platform shall provide to a food facility a mechanism to do both of the following:

(A) Remove the food facility, including its name, address, logo, or menu listing, from the platform within three business days of receiving a request to be removed from the platform.

(B) Direct the food delivery platform

to disclose to customers the delivery fee charged to the food facility and each fee, commission, or cost charged to the food facility, as provided in paragraph (2) of subdivision (b) of Section 22599.1.

(2)Nothing in this subdivision shall interfere with preexisting contractual obligations between a food delivery platform and a food facility.
(c)(1) A food delivery platform shall inform a food facility of both of the following prior to signing an agreement:

(A) The fees charged by the food delivery platform for each service plan offered.

(B) The features included in each service plan, as applicable.

(2)A food delivery platform shall also inform a food facility of

any change to the agreement referenced in this subdivision that is deemed material and applicable to the food facility.

(d)A food delivery platform shall inform a food facility of all of the following:
(1)How charges for customer order and delivery errors are calculated.
(2)How charges related to errors are allocated between the food delivery platform and the food facility.
(3)The process for food facilities to dispute charges related to errors, including whether disputes may be subject to automatic resolution.
(e)This section shall not require a food delivery platform to reveal information that is confidential, proprietary, or a trade secret.
(f)This section shall not prohibit offering bundled services at a single price.

Amended by Stats. 2025, Ch. 341, Sec. 1. (AB 578) Effective January 1, 2026.

(a)It is unlawful for a food delivery platform to do any of the following:
(1)Charge a customer any purchase price for food or beverage that is higher than the price posted on the food delivery platform’s internet website by the food facility at the time of the order.
(2)Retain any portion of amounts designated as a tip or gratuity. Any tip or gratuity for a delivery order shall be paid by a food delivery platform, in its entirety, to the person delivering the food or beverage. Any tip or gratuity for a pickup order shall be paid by a food delivery platform, in its entirety, to the food facility.
(3)Maintain a payment model that uses any amount designated as tips or gratuity to offset the base pay to the person delivering the food or beverage.
(b)A food delivery platform shall prominently disclose to the customer and to the food facility an accurate, clearly identified, and itemized cost breakdown of each transaction, including, but not limited to, all of the following information:
(1)The purchase price of the food and beverage.
(2)A notice, if applicable, that the food delivery platform charges a fee, commission, or cost to the food facility, unless the food facility directs that the food delivery platform disclose to customers the delivery fee

charged to the food facility and each fee, commission, or cost charged to the food facility.

(3)Each fee, commission, and any other cost charged to the customer by the food delivery platform.
(4)Any tip or gratuity payable to the delivery driver or food facility.
(c)A food delivery platform shall prominently disclose to the person delivering the food or beverage an accurate, clearly identified, and itemized breakdown of the pay received for a delivery, including, but not limited to, the base pay, gratuity or tips, and any promotional bonuses.
(d)(1) A listing website shall not associate a telephone number or other method of

direct communication with a food facility on the listing website’s internet website or application if the listing website knows the use of that telephone number or other method of direct communication will result in a forwarded call.

(2)A listing website shall clearly and conspicuously disclose if an order placed through a telephone number or other interface on the listing website’s internet website or application may result in a fee, commission, or cost paid to a party other than the food facility and shall identify that other party.
(e)A food delivery platform shall clearly and regularly disclose to the food facility and the customer the status of the order, including all of the following:
(1)The method of delivery.
(2)The anticipated date and time of the delivery of the order.
(3)Confirmation that the order has been successfully delivered or that the delivery cannot be completed.
(f)A food delivery platform shall include a clear and conspicuous customer service feature that allows a customer to contact a natural person. The food delivery platform may use an automated system to address customer service concerns. However, if the automated system is unable to address the customer’s concerns, the food delivery platform shall ensure that the customer is able to promptly connect with the natural person in order to address the concern.

Added by Stats. 2025, Ch. 341, Sec. 2. (AB 578) Effective January 1, 2026.

(a)A food delivery platform shall provide a full refund, including all taxes, commissions, fees, and gratuities, to the customer if an order is not delivered or the wrong order is delivered, unless the food delivery platform determines that the customer was responsible for the nondelivery or finds evidence indicating the refund request may be fraudulent.
(b)The food delivery platform shall refund the amount of the original paid gratuity to the customer but shall not take or deduct the

original gratuity amount from the delivery driver.

(c)If it is not feasible for the food delivery platform to refund the paid gratuity to the customer in the original method of payment, the food delivery platform shall provide an alternate refund method for the paid gratuity.
(d)In the event that a customer receives an order that is only partially fulfilled, the food delivery platform shall do the following:
(1)Charge the customer only for the

portion of the order the customer received. Any taxes, fees, or gratuities directly associated with the undelivered items shall be adjusted to reflect the reduced order.

(2)Provide a mechanism that allows the customer to adjust any gratuity that was included in the order prior to its delivery.
(e)Along with any other refund options, the food delivery platform shall provide a mechanism that allows the customer to request that the amount of the refund be returned to the original method of payment.
(f)This section does not prohibit a food delivery platform from removing a customer from the platform if the platform has a reasonable suspicion that the customer has committed or is committing

fraud.

Added by Stats. 2024, Ch. 84, Sec. 1. (AB 375) Effective January 1, 2025. Operative March 1, 2025, by its own provisions.

(a)Unless exempt pursuant to subdivision (b), a food delivery platform shall provide all of the following information to a customer on its online-enabled application or platform at the time the customer is notified their purchase is out for delivery:
(1)The driver’s first name.
(2)A picture of the driver.
(b)This section shall not apply to an order if either of the following apply:
(1)The food facility uses its own delivery driver for delivery of the order.
(2)The food facility receives the order through the food facility’s internet website or a third party that is not the food delivery platform.
(c)This section shall take effect on March 1, 2025.

Added by Stats. 2021, Ch. 513, Sec. 3. (AB 286) Effective January 1, 2022.

The provisions of this chapter are severable. If any provision of this chapter or its application is held invalid, that invalidity shall not affect other provisions or applications that can be given effect without the invalid provision or application.