The Competition Bureau said on Monday that it is suing the online food delivery company DoorDash for allegedly misleading consumers by advertising its services at a lower price than what customers actually end up paying.
“A Bureau investigation found that consumers were unable to purchase food and other items at the advertised price on DoorDash’s websites and mobile applications due to the addition of mandatory fees at checkout,” said the readout from the agency.
“This practice is commonly known as drip pricing and is deceptive because consumers are not presented with an attainable price upfront.”
The bureau filed an application with the Competition Tribunal, which handles cases related to Canada’s competition laws.
It’s seeking an outcome that would have DoorDash pay a penalty and compensate affected customers, in addition to ending what it refers to as “deceptive” price and discount advertising and the portrayal of fees as taxes.
CBC News is reaching out to DoorDash for its reply.
