Federal Judge Rules NYC Food Delivery Data Sharing Law Unconstitutional
Judge Analisa Torres found that the law violated the First Amendment by improperly regulating commercial speech.
- The law required food delivery companies to share customer data with restaurants, including names, addresses, emails, and phone numbers.
- Judge Torres ruled in favor of DoorDash, Grubhub, and Uber Eats, which argued the law violated privacy rights and threatened data security.
- The law, adopted in 2021, was intended to help restaurants recover from the COVID-19 pandemic by protecting them from 'exploitive practices' of delivery companies.
- The judge stated that the city did not demonstrate a substantial interest in the data collection and suggested less intrusive means to achieve the same goals.
- The New York City Hospitality Alliance criticized the decision, urging the city to appeal as it believes the ruling harms small businesses and consumers.