Square-Owned Caviar Settles Gratuity Class Action for $2.2 Million

Square, which owns meal delivery service Caviar, has reached a $2.2 million settlement with customers in a class action lawsuit claiming that the company collected gratuities from them when they placed food orders but didn’t share the money with delivery drivers. Patrons who used Caviar between January 2012 and August 2015 are included in the class.

Square contests the plaintiffs’ claims, stating that the delivery drivers were aware of what they would be paid for each delivery in advance under the terms of their contracts. The company states that it chose to settle in order to avoid the cost and distraction of litigation. If the court approves the settlement, class members stand to receive approximately $15.28 per person.

Additional Reading

Square’s Caviar agrees to pay $2.2 million to settle class action over gratuity, TechCrunch.com, June 11, 2018

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