WASHINGTON, D.C. — The Federal Trade Commission is distributing more than $23.8 million to 640,038 Grubhub drivers and diners, providing compensation tied to allegations that the food-delivery company misrepresented driver earnings and engaged in unlawful practices affecting customers and restaurants.
The payments stem from a December 2024 settlement involving the FTC and Illinois Attorney General, which accused Grubhub of misleading drivers about potential earnings, improperly blocking diners from accounts and funds, and listing restaurants on its platform without their permission.
The enforcement action also required Grubhub to change several business practices. The company was ordered to accurately advertise driver pay, establish a process allowing users to dispute blocked accounts and obtain restaurant consent before listing establishments on its platform.
The current distribution will reach affected consumers through checks and PayPal payments, with most recipients receiving checks by mail, according to the FTC.
Consumers receiving checks have 90 days to cash them. PayPal recipients must redeem their payments within 30 days.
The $23.8 million distribution works out to an average of roughly $37 per recipient, though the FTC did not state that individual payments would be equal.
Consumers with questions about payments can contact refund administrator Analytics Consulting LLC at 1-888-446-4992. Frequently asked questions about the FTC’s refund process are available at https://www.ftc.gov/enforcement/recent-ftc-cases-resulting-refunds/refund-programs-frequently-asked-questions.
The FTC cautioned recipients that it does not require consumers to pay money or provide account information to receive a refund.
Support the local news that supports Chester County. MyChesCo delivers reliable, fact-based reporting and essential community resources—free for everyone. If you value that, click here to become a patron today.