The New Hampshire Senate is contemplating legislation to govern how third-party food delivery apps operate with local restaurants. Citing concerns that the apps have listed some restaurants without their permission.

Members of the Senate Commerce and Consumer Affairs Committee voted 5-0 last week to mandate food delivery apps to enter into specific agreements with restaurants before including them in their apps.

Penalty for Food Delivery Platforms

Senate Bill 593, if passed, would impact common phone apps such as DoorDash, Grubhub, and Uber Eats. The food app will need express approval from restaurants before they can have customers’ orders and couriers to deliver food. 

According to the bill, food delivery companies may be fined $100 for each delivery made without first receiving permission from restaurants.

Restaurants Complain About Food Delivery Apps

In recent months, restaurant owners have complained that delivery apps have added their restaurants to their apps, increasing prices and adding menu items that have been discontinued.

Customers are ordering things that do not exist, according to restaurants. Since the orders aren’t linked to the restaurant’s system, several delivery drivers turn up to pick up orders that were never officially ordered, causing customers to wait and be frustrated.

Restaurant owners have argued that this arrangement can hurt their business long-term. More people are turning to takeout because of the COVID-19 pandemic. In response, authorities have moved to regulate food delivery apps, requiring partnership with restaurants.

The bill will take effect immediately after Governor Chris Sununu signs it. The Senate, however, proposed pushing the start date to September 2021 to give delivery apps time to plan. The bill expires on December 31, 2023.