Grubhub agreed to a $25 million settlement with the Federal Trade Commission and Illinois Attorney General over alleged practices affecting diners, delivery drivers and restaurants. The settlement set aside $24.8 million for consumer restitution and $200,000 for Illinois consumer education and enforcement. On August 12, 2026, the FTC said it was sending 640,038 payments totaling more than $23.8 million—but that does not mean every customer qualifies or receives the same amount.
What did Grubhub do?
The FTC and Illinois Attorney General announced the settlement on December 17, 2024. The complaint alleged that Grubhub misled diners about delivery costs and Grubhub+ benefits, restricted some customers’ access to accounts and funds, advertised driver earnings that few drivers achieved, and listed restaurants without permission. These were allegations resolved through a settlement, not findings made after a trial. The FTC and Illinois Attorney General’s announcement describes the claims and settlement allocation.
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Fees, subscriptions and blocked accounts
The FTC alleged that Grubhub misrepresented delivery costs and Grubhub+ benefits, and that some diners were blocked from accounts without adequate notice or access to their funds. The settlement requires the company to disclose delivery costs, stop adding junk fees, notify consumers when accounts are blocked, provide a way to appeal, and return access to funds if a block is removed. It also requires simple Grubhub+ cancellation and annual subscription reminders. The FTC announcement summarizes these requirements.
Driver earnings advertising
The FTC challenged Grubhub’s earnings claims as misleading. In New York, the complaint said Grubhub advertised earnings of up to $40 an hour, but only one in 1,000 drivers made that amount; median pay was around $10 an hour. In Chicago, it cited advertising of up to $26 an hour against median pay of $11, with fewer than 2% of drivers making the advertised amount. These figures are claims in the FTC’s 2024 complaint, not a current earnings estimate. The settlement also addresses honest advertising of driver earnings. The FTC’s announcement links the complaint and outlines the order.
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Restaurant listings without consent
The FTC complaint said Grubhub had listed as many as 325,000 unaffiliated restaurants—more than half of the restaurants then available on the platform. The agency alleged that unauthorized listings could send customers to outdated menus or unavailable dishes, leave restaurants unpaid if payment cards failed, and harm a restaurant’s reputation when diners blamed it for delivery problems. The settlement requires Grubhub to list restaurants only with their consent. The agencies’ announcement summarizes the restaurant allegations and remedy.
How was the $25 million allocated?
| Amount | Purpose | Attribution |
|---|---|---|
| $24.8 million | Consumer restitution nationwide | Illinois Attorney General’s December 2024 announcement |
| $200,000 | Illinois consumer education and enforcement | Illinois Attorney General’s December 2024 announcement |
| $25 million | Announced total settlement value | FTC and Illinois Attorney General, December 2024 |
The figures are the allocation announced by the agencies; they do not establish a fixed payment for every affected consumer. The Illinois Attorney General’s announcement gives the allocation.
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Who gets money, and how much?
The FTC’s August 12, 2026 update said it was sending checks or PayPal payments to 640,038 affected consumers, totaling more than $23.8 million. The agency reported the aggregate distribution, not a guaranteed payment amount for each person. Dividing the total by the number of payments would not establish what any individual recipient should receive. The FTC’s payment announcement is the official source for the distribution update.
Use the official refund materials to check whether a payment is intended for you. The FTC said most recipients would receive a mailed check, which should be cashed within 90 days; PayPal payments should be redeemed within 30 days. Analytics Consulting LLC is the refund administrator, and the FTC listed 1-888-446-4992 for payment questions. The Commission warns that it never requires people to pay money or provide account information to receive a payment. The FTC’s refund notice provides the payment details.
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Do you need to file a claim?
The FTC’s August 2026 payment notice describes payments being sent to affected consumers; it does not say that every reader qualifies or establish a universal claim-filing requirement. Follow the current instructions in the official refund materials rather than relying on an unsolicited message. If you have a payment question, contact the listed administrator at 1-888-446-4992, and do not pay a fee or disclose account information to obtain a refund.
Independent reader supportYour contribution helps us test, update, and keep practical guides available for everyone.What is the case’s legal status?
The FTC case page identifies the action as FTC and the People of Illinois v. Grubhub Inc. and Grubhub Holdings Inc., civil action 1:24-cv-12923 in the Northern District of Illinois. It lists a stipulated order entered December 31, 2024, and showed the case status as “Pending” in its August 12, 2026 update. An entered stipulated order sets out agreed requirements; it does not turn the complaint’s allegations into findings after a trial. The FTC case page provides the docket information and order.
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- No returns and no refunds on gift cards.
Grubhub said it agreed to a suspended $25 million judgment and platform changes while denying the allegations and saying it settled to move forward. The company’s original response URL redirected to Wonder in the reviewed material, so that statement should be understood as Grubhub’s response at the time, not as an independently verified finding. Grubhub’s settlement statement.
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- Redeemable at over 650 Texas Roadhouse locations in the US and Puerto Rico.
- Use Texas Roadhouse gift cards for a fun night out or for convenient Online / To-Go orders.
- Famous for our fresh-baked bread and legendary margaritas – a true taste of Texas hospitality.
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