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Gov. Inslee puts cap on third-party delivery fees to help restaurants

The proclamation caps delivery fees at 15 percent and total fees at 18% of the purchase price of an order.
Credit: AP
The big delivery players like Uber Eats, Grub Hub, and Door Dash are boxing out restaurants on Google.

OLYMPIA, Wash. — Washington state Governor Jay Inslee announced a cap on fees charged to restaurants by third-party delivery services, like Uber Eats, DoorDash, Postmates and others.

According to a press release from the governor’s office, the proclamation caps delivery fees at 15 percent and total fees at 18% of the purchase price of an order. It takes effect Nov. 25 at 12:01 a.m.

The use of delivery platforms has increased due to the coronavirus pandemic.

"We recognize the challenges posed by COVID-19 to our restaurant community, and we’re grateful to third party delivery platforms that have made it possible for Washingtonians to continue supporting local restaurants, and allowed many businesses to stay open," Inslee said in a press release.

"However, these are difficult times. We all must sacrifice during these uniquely challenging times to both support our businesses and slow the spread of COVID-19. We encourage Washingtonians to support their local restaurants safely through delivery and take-out options that are available."

Inslee's new restrictions went into effect this week and put a stop to all indoor dining at restaurants and bars. Outdoor dining and to-go service is permitted, but outdoor dining is limited to five people per table.

The restrictions have put additional strain on the already struggling restaurant industry.

A group of Democratic lawmakers and a hospitality association are asking Inslee to reconsider his four-week ban on indoor dining.

The Washington Hospitality Association, a trade group that represents more than 6,000 members of the lodging and restaurant industry, wrote a letter to Inslee saying the latest restrictions meant to stem rising cases of the coronavirus “will mean 100,000 families or more will lose their income right before the holidays.”

Democratic lawmakers wrote a letter to Inslee asking him to consider replacing the ban on indoor dining with stricter limits on how many people can be served.

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