Grubhub Responds to LA County Lawsuit Alleging Unfair Business Practices

The food-delivery service denies using hidden fees, saying all fees are disclosed before an order is placed.

A GrubHub sticker at a New York restaurant, on April 4, 2014, lets consumers know that food ordering is available online. AP Photo/Mark Lennihan

Grubhub disputes allegations made by Los Angeles County in a lawsuit filed against the food delivery service Feb. 22 for allegedly charging excessive fees.

In the lawsuit, the county claims Grubhub uses unfair and deceptive business practices and seeks statewide relief to stop violations, including charging hidden fees at check-out, falsely telling customers not to tip drivers because of its “driver benefits fee,” and charging restaurants for customer refunds.