Current:Home > NewsPanera agrees to $2 million settlement for delivery fees: How to see if you're owed money -Finovate
Panera agrees to $2 million settlement for delivery fees: How to see if you're owed money
View
Date:2025-04-16 02:28:00
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! (52)
Related
- Juan Soto to be introduced by Mets at Citi Field after striking record $765 million, 15
- Google Is Appealing A $5 Billion Antitrust Fine In The EU
- All the Ways Everything Everywhere All at Once Made Oscars History
- Of Course Jessica Alba and Cash Warren Look Absolutely Fantastic at Vanity Fair Oscars Party
- Trump issues order to ban transgender troops from serving openly in the military
- States are investigating how Instagram recruits and affects children
- Voice-only telehealth may go away with pandemic rules expiring
- Japanese prime minister unharmed after blast heard at speech
- Grammy nominee Teddy Swims on love, growth and embracing change
- Air France and Airbus acquitted of involuntary manslaughter in 2009 crash of Flight 447 from Brazil to Paris
Ranking
- US wholesale inflation accelerated in November in sign that some price pressures remain elevated
- You can now ask Google to scrub images of minors from its search results
- Patients say telehealth is OK, but most prefer to see their doctor in person
- What A Trump Defense Secretary Said At The Elizabeth Holmes Trial
- The company planning a successor to Concorde makes its first supersonic test
- Netflix employees are staging a walkout as a fired organizer speaks out
- Oscars 2023: Anne Heche, Charlbi Dean and More Left Out of In Memoriam Segment
- Hunter Schafer Turns Heads in Feather Top at Vanity Fair's Oscars After-Party
Recommendation
Travis Hunter, the 2
Prosecutors Call Theranos Ex-CEO Elizabeth Holmes A Liar And A Cheat As Trial Opens
Meet The First 2 Black Women To Be Inducted Into The National Inventors Hall Of Fame
Prince Harry to attend King Charles' coronation without Meghan
Selena Gomez's "Weird Uncles" Steve Martin and Martin Short React to Her Engagement
Kevin Bacon and Kyra Sedgwick Do Date Night in Matching Suits at 2023 Vanity Fair Oscars Party
A complete guide to what is — and isn't — open this Thanksgiving Day
Olivia Wilde Looks Darling in a Leather Bra at Vanity Fair Oscars 2023 Party