DoorDash will pay a total of $2.5 million to settle a lawsuit filed last year by D.C.’s attorney general alleging it misled customers about how much of their tips were actually going to delivery drivers.
The settlement includes $1.5 million in payments directly to DoorDash drivers in the District, as well as $750,000 to the District itself, and $250,000 to be donated to local charities.
Karl Racine’s suit alleged DoorDash misled consumers and used tips made through the delivery app to boost the company’s bottom line — specifically, that the tips were used to subsidize DoorDash’s payments to workers, and weren’t dispersed to them on top of their regular delivery wage.
Click here to read the rest of the article written by Jeff Clabaugh over at WTOP
