Bill Text: IL HB1266 | 2023-2024 | 103rd General Assembly | Introduced
Bill Title: Amends the Fair Food and Retail Delivery Act. Provides that beginning January 1, 2024, no third-party delivery service may charge a merchant a fee, commission, or charge per order through a digital network that totals more than 15% of the purchase price of the order, unless: (1) the third-party delivery service offers all merchants the option to obtain core delivery services for a fee, commission, or charge not to exceed 15% of the purchase price of the order without requiring the purchase of additional services; and (2) no later than November 1, 2023, the third-party delivery service notifies all merchants that have an existing contract with the third-party delivery service of this option. Defines "core delivery service". Effective immediately.
Spectrum: Partisan Bill (Democrat 1-0)
Status: (Introduced) 2023-01-31 - Referred to Rules Committee [HB1266 Detail]
Download: Illinois-2023-HB1266-Introduced.html
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1 | AN ACT concerning business.
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2 | Be it enacted by the People of the State of Illinois,
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3 | represented in the General Assembly:
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4 | Section 5. The Fair Food and Retail Delivery Act is | |||||||||||||||||||||
5 | amended by changing Section 5 and by adding Section 25 as | |||||||||||||||||||||
6 | follows:
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7 | (815 ILCS 338/5)
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8 | Sec. 5. Definitions. As used in this Act: | |||||||||||||||||||||
9 | "Agreement" means a written agreement between a merchant | |||||||||||||||||||||
10 | and a third-party delivery service. | |||||||||||||||||||||
11 | "Core delivery services" means services provided by a | |||||||||||||||||||||
12 | third-party delivery service that: (i) lists a merchant and | |||||||||||||||||||||
13 | makes the merchant discoverable on all modalities or platforms | |||||||||||||||||||||
14 | offered by the third-party delivery service, including, but | |||||||||||||||||||||
15 | not limited to, a website, a mobile application, or other | |||||||||||||||||||||
16 | Internet service where a third-party delivery service lists | |||||||||||||||||||||
17 | merchants; and (ii) facilitates or performs the delivery of | |||||||||||||||||||||
18 | food or beverages from merchants to customers through | |||||||||||||||||||||
19 | employees or independent contractors of the third-party | |||||||||||||||||||||
20 | delivery service or merchant. "Core delivery service" does not | |||||||||||||||||||||
21 | include any other service that may be provided by a | |||||||||||||||||||||
22 | third-party delivery service to a merchant, including, but not | |||||||||||||||||||||
23 | limited to, advertising services, search engine optimization, |
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1 | business consulting, or credit card processing. | ||||||
2 | "Customer" means the person, business, or other entity | ||||||
3 | that places an order for a merchant's products through a | ||||||
4 | digital network. | ||||||
5 | "Digital network" means a third-party delivery service's | ||||||
6 | Internet site or online-enabled application, software, or | ||||||
7 | system that allows a customer to view, search, and purchase | ||||||
8 | products for delivery by a third-party delivery service to a | ||||||
9 | customer. | ||||||
10 | "Likeness" means identifiable symbols attributed and | ||||||
11 | easily identified as belonging to a specific merchant or | ||||||
12 | retailer. | ||||||
13 | "Merchant" means a restaurant, bar, or other retail | ||||||
14 | entity. | ||||||
15 | "Third-party delivery service" means a company, | ||||||
16 | organization, person, or entity outside of the operation of | ||||||
17 | the merchant's business, not wholly owned by the merchant, | ||||||
18 | that provides delivery services to customers through a digital | ||||||
19 | network. | ||||||
20 | "Third-party delivery service driver" means an individual | ||||||
21 | that provides delivery services on behalf of a third-party | ||||||
22 | delivery service to customers.
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23 | (Source: P.A. 102-1056, eff. 1-1-23 .)
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24 | (815 ILCS 338/25 new) | ||||||
25 | Sec. 25. Fee cap for core delivery services. Beginning |
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1 | January 1, 2024, no third-party delivery service may charge a | ||||||
2 | merchant a fee, commission, or charge per order through a | ||||||
3 | digital network that totals more than 15% of the purchase | ||||||
4 | price of the order, unless: | ||||||
5 | (1) the third-party delivery service offers all | ||||||
6 | merchants the option to obtain core delivery services for | ||||||
7 | a fee, commission, or charge not to exceed 15% of the | ||||||
8 | purchase price of the order without requiring the purchase | ||||||
9 | of additional services; and | ||||||
10 | (2) no later than November 1, 2023, the third-party | ||||||
11 | delivery service notifies all merchants that have an | ||||||
12 | existing contract with the third-party delivery service of | ||||||
13 | the option described in paragraph (1).
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14 | Section 99. Effective date. This Act takes effect upon | ||||||
15 | becoming law.
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