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DoorDash : sues NYC over data-sharing ordinance

09/15/2021 | 03:41pm

DoorDash is suing New York City over the implementation of a law that would require the third-party delivery service to share customer data with restaurants, according to a CNBC report.

The City Council approved a bill that mandates delivery services like DoorDash, GrubHub and UberEats to provide customer data like names, emails, order contents, delivery addresses and phone numbers to the stores that fill the order unless a customer opts out, but only on an order-by-order basis.

DoorDash called the ordinance unconstitutional and a breach of consumer privacy. It is set to take effect in December.

"In an era of heightened concerns about data privacy and identity theft, this compelled disclosure is a shocking and invasive intrusion of consumers' privacy," DoorDash said in the court filing. DoorDash noted in-person diners would not be asked to share that information with restaurants.

Restaurants in the city seem to support the bill.

"DoorDash spends millions of dollars to take restaurants' customers and withhold their information so they can control the market and extract more fees from small businesses," Andrew Rigie, the executive director of the NYC Hospitality Alliance said in a U.S. News & World Report article.

Copyright © 2021 Networld Media. All rights reserved., source Industry News

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