Current:Home > StocksPanera agrees to $2 million settlement for delivery fees: How to see if you're owed money -TradeGrid
Panera agrees to $2 million settlement for delivery fees: How to see if you're owed money
View
Date:2025-04-13 20:32:34
If you've ordered food from Panera Bread that was delivered to your door, you may be owed some money.
Panera Bread has agreed to pay $2 million to settle a class action lawsuit accusing the bakery-café chain of misleading customers about prices and fees for delivery orders. But before you go looking to submit a claim, only those customers who ordered food for delivery between Oct. 1, 2020 and Aug. 31, 2021 are eligible for some settlement funds, according to Kroll Settlement Administration, which was appointed to oversee the settlement.
Under the settlement terms, customers can receive vouchers or an electronic cash payment. Panera, meanwhile, agreed to resolve the case under the condition that the company would not have to admit to any wrongdoing.
Panera did not immediately respond Tuesday morning to a message left by USA TODAY seeking comment.
Here's what to know about the lawsuit against Panera, and how you can submit a settlement claim.
New Oreo flavors:Oreo to debut 2 new flavors inspired by mud pie, tiramisu. When will they hit shelves?
What is the lawsuit against Panera about?
The plaintiffs who filed the lawsuit said they paid more than expected for delivery orders from Panera, accusing the the sandwich and soup restaurant of misleading customers about both the cost of delivery fees and menu prices.
Specifically, the lawsuit alleged that Panera would promise to provide either free or low-cost deliveries with a $1 or flat rate to customers who ordered through the company's mobile app or website. Instead, customers accused Panera of then loading on hidden fees, according to a lawsuit filed last year in Illinois.
Panera is alleged to have marked up food prices for delivery orders by 5% to 7%, the plaintiffs wrote. For example, a customer who ordered a sandwich through the mobile app may have been charged an extra $1 for delivery than if they were to pick it up in the store, the lawsuit states.
This extra fee was only displayed on the app or website after a customer chose delivery or pickup, the lawsuit alleged.
“This secret menu price markup was specifically designed to cover the costs of delivering food and profit on that delivery,” according to the lawsuit. “It was, in short, exclusively a charge for using Panera’s delivery service and was, therefore, a delivery charge.”
Chick-fil-A recently agreed to settle a similar class-action lawsuit alleging that the fast-food chain charged inflated prices for delivery during the COVID-19 pandemic. The company agreed to pay $4.4 million to settle the lawsuit, which was filed in Georgia in October 2023 and accused Chick-fil-A of hiking up its menu prices by 30% for delivery orders.
How can I file a claim for settlement money?
Those customers who believe they qualify for Panera's settlement money can file a claim online here by the deadline of June 10.
You'll need to provide proof of purchase to verify your claim, which can be the phone number that placed the order and an email notice if you received one.
Eligible customers can receive either two vouchers valued at $9.50 each for a free menu item at Panera, or an electronic payment of up to $12 via PayPal, according to the settlement website.
Separate litigation against Panera concerns its energy drinks
Panera Bread has also found itself at the center of multiple lawsuits since late last year regarding its line of highly caffeinated Charged Lemonade drinks.
Two lawsuits, filed in October and December of last year, allege the drink's caffeine contents caused the cardiac arrests that killed two separate people, while a third filed this year alleges the beverage caused permanent heart issues.
The drinks are still available for purchase on Panera's menu with the addition of product warnings. A judge recently denied Panera's request to dismiss one of the suits, signaling that these cases may take some time to resolve.
Contributing: Mary Walrath-Holdridge
Eric Lagatta covers breaking and trending news for USA TODAY. Reach him at elagatta@gannett.com
veryGood! (1)
Related
- Taylor Swift Eras Archive site launches on singer's 35th birthday. What is it?
- Feminist website Jezebel will be relaunched by Paste Magazine less than a month after shutting down
- Congress members, activists decry assaults against anti-China protesters during San Francisco summit
- Pope says he has acute bronchitis, doctors recommended against travel to avoid change in temperature
- Sonya Massey's father decries possible release of former deputy charged with her death
- Germany arrests French woman who allegedly committed war crimes after joining IS in Syria
- Black employees file federal discrimination suit against Chicago utility
- College Football Player Reed Ryan Dead At 22
- Person accused of accosting Rep. Nancy Mace at Capitol pleads not guilty to assault charge
- Human remains found on neighbor's property in search for Indiana teen missing since June
Ranking
- Elon Musk's skyrocketing net worth: He's the first person with over $400 billion
- Lawsuit alleges negligence in train derailment and chemical fire that forced residents from homes
- Proposed NewRange copper-nickel mine in Minnesota suffers fresh setback on top of years of delays
- Canada says Google will pay $74 million annually to Canadian news industry under new online law
- Rylee Arnold Shares a Long
- The True Story Behind Kyle Richards Tattooing Her Initial on Morgan Wade's Arm
- Why Swifties Think Taylor Swift and Ex Joe Alwyn’s Relationship Issues Trace Back to 2021
- Supreme Court conservatives seem likely to axe SEC enforcement powers
Recommendation
Trump wants to turn the clock on daylight saving time
South Carolina men accused of targeting Hispanic shoppers indicted on federal hate crime charges
Senate Majority Leader Schumer warns that antisemitism is on the rise as he pushes for Israel aid
Hundreds of thousands in North Carolina will be added to Medicaid rolls this week
Federal hiring is about to get the Trump treatment
2023 National Christmas Tree lighting ceremony: How to watch the 101st celebration live
South Africa march demands a permanent Gaza cease-fire on day of solidarity with Palestinians
Fantasy football rankings for Week 13: Unlucky bye week puts greater premium on stars