McKee Signs Bill Protecting Restaurants From 3rd Party Deliveries

PROVIDENCE, RI — Rhode Island restaurants now have control over whether they want to use third-party delivery services like Uber Eats and Grubhub, thanks to a bill Gov. Dan McKee signed Monday.

The bill, 2021-H 5346A, prevents third-party delivery services from listing a business without the owner's consent. The bill signing took place at Chaska, a local Indian restaurant in Cranston.

Third-party delivery services have argued listing the businesses, regardless of permission, helps attract new customers, without charging a commission fee to non-partnered businesses. But restaurants don't necessarily see this as beneficial, because a restaurant's reputation can be affected if a third-party company promises to take an order the restaurant cannot fulfill.

"As the COVID-19 pandemic saw everyone using and relying upon third-party delivery sources for food and other goods, it is important that both our small businesses and the consumer have trust in the transaction they choose to engage in," said state Rep. Robert Craven (D-North Kingston). "This law will ensure that the public and our small businesses know exactly who they are doing business with, and it will bring transparency and fairness to the rapidly emerging technologies in our lives."

The governor on Monday also signed a bill that extends to-go alcohol sales for Rhode Island restaurants, until March 1, 2022.