New York gives new protections to restaurants that use food apps

The COVID-19 crisis in New York City has had a fierce impact on the restaurant industry, which has not only seen its income drop drastically, but has also put them at risk of staying alive in the small business sector. And trying to give them new protections in the field of food delivery through applications, which in many cases has become one of the life preserver to stay afloatthe Big Apple has just given free reign to a couple of protections to ensure that they do not have to assume cost overruns that reduce their income.

This is determined by two new laws, which this Monday was signed by the Mayor Bill de Blasio: one of them to prohibit that incomplete telephone orders generate a charge to restaurants and another to guarantee the cap on the fees that apps charge for delivery services to businesses. It is estimated that restaurants registered with food apps sometimes had to pay up to 33% of the cost of their dishes and now a maximum of 10%.

After stamping his signature on the two legislations, which reinforce a package of laws on apps signed last May, the president highlighted that the new rules are an act of justice for restaurants in the midst of a pandemic.

“Intro 2043-A extends the prohibition of charging for unconfirmed phone orders until 90 days after restaurants can operate at 100% capacity, and Intro 2053-A extends the limit on fees that delivery apps can charge restaurants until 90 days after restaurants can operate at 100% of its capacity”, explained Mayor. “We must ensure that our restaurants are protected as we fight to overcome this crisis (…) We understand how important (restaurants) are to the future of our city. We understand that the restaurant industry is the livelihood of hundreds of thousands of New Yorkers.”

The news was well received not only by members of the more than 7,000 small restaurants neighborhoods, who suffer the most from the cost overruns of the apps, but also by delivery men, who, as Jose Gonzalez, They ensure that there will be more flow of orders.

“This is good news for all of us who are in the small business industry, even more so now that any little dollar they take from us hurts our souls,” said the Salvadoran worker.

De Blasio He was also questioned about what the City will do for next September 30, when restaurants will be able to open their indoor dining rooms with 25% of total capacity and he said that they will be very vigilant.

We have to watch every step carefully. And these next steps are big steps (…) beginning to have indoor dining rooms, which has been a very delicate matter throughout the world. And in some places, many places have had bugs with indoor dining. So I think it’s smart to do it carefully, slowly, step by step, to make sure it’s working,” the Mayor said.

“My hope is that we can continue to expand indoor dining areas while continuing to reduce this disease. But in this immediate moment, we have to be very smart with every move we do and make sure it’s based on data and science,” de Blasio concluded.