Published on: Dec 29, 2025 12:31 pm IST
Grubhub has established a $7.15 million compensation fund to compensate business owners who were added to its websites without consent or a formal contract.
After a lengthy legal dispute, Grubhub has established a $7.15 million compensation fund to compensate business owners who were arbitrarily added to its websites. The settlement stems from a class action lawsuit that alleged that Grubhub, as well as its affiliated brands, listed thousands of restaurants on its food delivery platforms without a formal contract with the business owners, and also without their consent.
The class action lawsuit claims that Grubhub “added” restaurants to its apps without a contract, between 2019 and 2024. The company has agreed to create a $7.15 million fund, which will be used to pay $50 as a base to each affected restaurant that files a valid complaint. An extra payment will be delivered on the basis of how long the restaurant was listed without permission, to cover attorneys’ fees and case administration.
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Who is eligible?
A business has to meet three fundamental criteria to be eligible for compensation, according to the settlement agreement:
- The name or logo of the business was used on Grubhub or any of its brands, such as Seamless, Eat24, Tapingo, OrderUp, LevelUp, AllMenus, MenuPages or BiteGrabber.
- The business did not have a signed contract with any of these platforms when it was listed.
- The inclusion without consent must have happened between January 1, 2019, and April 30, 2024.
How to apply, and dates to mark on the calendar
Affected businesses must locate the unique ID and PIN that the case administration sent by post or email.
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Mark the following dates:
- February 2, 2026: Last day to request exclusion from the settlement (if one wishes to sue on your own).
- March 4, 2026: Final deadline to submit the claim form online or by mail.
- Payments will be processed after the final approval hearing, which is scheduled for April 15, 2026.
What are the compensation amounts?
The $7.15 million fund will be distributed among approved claimants in the following way:
- Base pay: An initial amount of $50 to be awarded for each valid claim.
- Additional payment: A prorated extra amount will be calculated, depending on how long the business was listed without authorization.
