Regulator Finds Uber Eats’s Stiffing of Restaurants Hard to Stomach

Uber Eats to amend contracts by the end of the year after Australian competition watchdog says the food-delivery service’s contracts with restaurants are unfair

SYDNEY—Uber Technologies Inc. will no longer be able to charge restaurants in Australia for delivery mishaps outside their control, after the practice was deemed unfair in a rebuke for tech giants seeking to keep delivery costs low in a rapidly growing sector.

The ride-hailing company’s food-delivery arm, Uber Eats, will amend contracts by the end of the year after Australia’s competition watchdog determined the company’s contracts with restaurants were unfair. The contracts gave Uber Eats the right to refund consumers and...

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