Uber Takes DoorDash to Court Over Alleged Anti-Competitive Practices
Uber has filed a lawsuit against DoorDash, the largest food delivery provider in the US, alleging that the company is pressuring restaurants to exclusively use its services. According to reports from The Wall Street Journal and The Financial Times, the lawsuit was filed in California on February 14. Uber claims that it filed the lawsuit after receiving complaints from “restaurants across the country” that were forced to “cave to [DoorDash’s] demands or pay the price.”
Competition in the Food Delivery Market
Both DoorDash and Uber Eats offer delivery services to restaurants, including for customers who order through the restaurant’s own website or app. Additionally, they offer advertising within their apps for restaurants that want to promote their businesses. DoorDash has a significantly larger market share than Uber Eats, with 90 percent of major US restaurants available on its platform.
Alleged Anti-Competitive Practices
According to Uber, DoorDash allegedly threatened to charge higher commission rates for handling orders made through its marketplace if a restaurant is also listed on Uber Eats. In one instance, DoorDash allegedly threatened to raise a restaurant’s commission rate by 30 percent per order. The lawsuit also states that DoorDash told a restaurant that it would cost them millions of dollars in additional fees if they partnered with Uber. In 2024, a large restaurant group abandoned plans to launch on Uber after DoorDash threatened to increase its commission rates, according to Uber. Furthermore, DoorDash allegedly threatened to demote restaurants that are also available on Uber within its app.
Uber’s Demands
Uber is seeking a court order to compel DoorDash to change its business practices. In response, DoorDash denied all allegations, stating that “Uber’s case has no merit” and that their claims are “unfounded and based on their inability to offer merchants, consumers, or couriers a quality alternative.”
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