For purposes of this chapter, the following definitions apply.
"City"
means the city of Palm Springs.
"Core delivery service"
means a service that lists a Retail Food Establishment and
makes the Retail Food Establishment discoverable on all modalities
or platforms offered by a third-party meal delivery platform, including
any website, mobile application, or other internet service where a
third-party meal delivery platform lists Retail Food Establishments
and facilitates or performs the delivery through employees or independent
contractors of the third-party meal delivery platform of food or beverages
from Retail Food Establishments to customers. The term "core delivery
service" does not include any other service that may be provided by
a third-party meal delivery platform to a Retail Food Establishment,
including advertising or other promotional services, search engine
optimization, business consulting, or credit card processing.
"Delivery fee"
means a fee charged by a Third-party Food Delivery Service
for providing a Retail Food Establishment with a service that delivers
food and beverages from such establishment to customers. The term
does not include any other fee or cost that may be charged by a Third-party
Food Delivery Service to a Retail Food Establishment, such as fees
for listing or advertising the Retail Food Establishment on the Third-party
Food Delivery Service platform or fees related to processing the online
order, including, but not limited to, service fees, fees for facilitating
online orders for pick-up, and credit card processing fees.
"Online order"
means an order placed by a customer through or with the assistance
of a platform provided by a Third-Party Food Delivery Service, including
a telephone order, for delivery or pick-up within the city.
"Purchase price"
means the price, as listed on the menu, for the items contained
in an online order, minus any applicable coupon or promotional discount
provided to the customer by the Retail Food Establishment through
the Third-Party Food Delivery Service. This definition does not include
taxes, gratuities, and any other fees or costs that may make up the
total amount charged to the customer of an online order.
"Retail food establishment"
means a restaurant, delicatessen bakery, coffee shop, or
other eat-in or carry-out service of processed or prepared and ready-to-eat
food or beverages.
"Third-party food delivery service"
means any website, mobile application, or other internet
service that offers or arranges for the sale of food and beverages
prepared by, and the delivery or pick-up of food and beverages from,
no fewer than 20 retail food establishments located in the city that
are each owned and operated by different persons.
(Ord. 2084, 10/12/2023)
The Third-party Food Delivery Service shall disclose to the
customer an accurate, clearly identified, and itemized cost breakdown
of each transaction, including, but not limited to the following:
(a)
The purchase price of the food and beverages at the cost listed
on the Retail Food Establishment's menu;
(b)
The delivery fee charged to the Retail Food Establishment;
(c)
Each fee, commission, or cost, other than a delivery fee, charged
to the Retail Food Establishment;
(d)
Each fee, commission, or cost, other than the delivery fee or
the purchase price of the food, charged to the customer by the Third-party
Food Delivery Service; and
(e)
Any tip or gratuity that will be paid to the person delivering
the food or beverages.
(Ord. 2084, 10/12/2023)
A violation of this chapter shall subject the violator to the
following:
(a)
A civil action in the Superior Court of the state of California
to recover all actual damages resulting from a violation of this chapter.
(b)
Reasonable attorneys' fees and costs awarded by a court
to a plaintiff that prevails in an action against a Third-party Food
Delivery Service. If plaintiff fails to prevail against a Third-party
Food Delivery Service, a court may award reasonable attorneys'
fees and costs to the Third-party Food Delivery Service upon a determination
by the court that the plaintiff's action was frivolous.
(c)
A civil action alleging a violation of any provision of this
chapter shall commence only after the following requirements have
been met:
(1)
Written notice is provided to the Third-party Food Delivery
Service of the provisions of this chapter alleged to have been violated
and the facts to support the alleged violation; and
(2)
The Third-party Food Delivery Service is provided 15 days from
the date of the written notice to cure any alleged violation.
(d)
Notwithstanding any provision of this code, or any other ordinance
to the contrary, no criminal penalties shall attach for violation
of this chapter, nor shall it be enforced as a violation of a city
ordinance. Enforcement of this chapter shall be solely through a private
cause of action. Neither the city nor its staff is responsible for
enforcement of this chapter.
(Ord. 2084, 10/12/2023)