Chick-fil-A Settles Class-Action Lawsuit, Agrees to $4.4M Payment

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ICARO Media Group
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20/10/2023 21h10

Chick-fil-A has reportedly reached a settlement in a class-action lawsuit alleging the fast-food chain of inflating prices for delivery orders during the COVID-19 pandemic. The lawsuit, filed in Georgia, claimed that the popular food chain advertised low delivery fees through its app and website but then increased menu prices for delivery orders by up to 30%.

Although Chick-fil-A did not admit any wrongdoing, the company has agreed to pay a sum of $4.4 million as part of the settlement. This payment will be disbursed to affected customers who made delivery orders during the specified period covered by the lawsuit.

As part of the settlement, Chick-fil-A has also committed to adding a disclosure on its app and website. This disclosure, to be prominently displayed, will inform customers that prices for products may vary for delivery orders compared to in-person purchases.

The lawsuit highlighted the discrepancy in prices paid by customers who opted for delivery compared to those who dined in or used the drive-thru service. It asserted that the higher prices for delivery orders violated the advertised promise of low delivery fees.

Chick-fil-A, known for its popular chicken sandwiches and customer service, has a loyal customer base across the United States. However, the lawsuit brought attention to the issue of price discrepancies and raised concerns among customers who relied on the convenience of delivery during the pandemic.

The settlement demonstrates Chick-fil-A's commitment to resolving the legal dispute and addressing customer concerns. By agreeing to the payment and implementing a disclosure on its app and website, the company aims to be more transparent and ensure that customers have accurate information about pricing when placing delivery orders.

The $4.4 million settlement will provide compensation to affected customers who experienced inflated prices during the specified period covered by the lawsuit. Although details of how customers can claim their share of the settlement have not been disclosed yet, it is expected that eligible customers will be notified about the process.

This settlement serves as a reminder to businesses to uphold transparency in their pricing practices and to ensure that customers are not misled by any advertising claims. As the delivery market continues to grow, it is crucial for companies to provide clear and accurate information about prices and fees, ensuring a fair and satisfactory experience for all customers.

Both the plaintiffs and Chick-fil-A agreed to the terms of the settlement, which now awaits final approval from the court. Once approved, the settlement will conclude the class-action lawsuit, bringing an end to the legal dispute between the plaintiffs and Chick-fil-A.

The views expressed in this article do not reflect the opinion of ICARO, or any of its affiliates.

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