Current:Home > MarketsPanera agrees to $2 million settlement for delivery fees: How to see if you're owed money -Trailblazer Capital Learning
Panera agrees to $2 million settlement for delivery fees: How to see if you're owed money
View
Date:2025-04-15 08:45:11
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! (91)
Related
- Federal Spending Freeze Could Have Widespread Impact on Environment, Emergency Management
- Small-town Colorado newspapers stolen after running story about rape charges at police chief’s house
- Why Jacob Elordi Is Worried About Returning for Euphoria Season 3
- Mariska Hargitay Reveals the Secret to Decades-Long Marriage With Peter Hermann
- Why Sean "Diddy" Combs Is Being Given a Laptop in Jail Amid Witness Intimidation Fears
- Walmart managers to earn at least $128,000 a year in new salary program, company announces
- Florida under NCAA investigation year after failed NIL deal with QB signee Jaden Rashada
- Inside Gisele Bündchen's Parenting Journey After Tom Brady Divorce
- San Francisco names street for Associated Press photographer who captured the iconic Iwo Jima photo
- Super Bowl pregame performers include Reba McEntire singing national anthem, Andra Day and Post Malone
Ranking
- Meta releases AI model to enhance Metaverse experience
- The enduring appeal of the 'Sex and the City' tutu
- Navajo Nation 'relieved' human remains didn't make it to the moon. Celestis vows to try again.
- 'Wait Wait' for January 20, 2024: With Not My Job guest David Oyelowo
- DoorDash steps up driver ID checks after traffic safety complaints
- Texas couple buys suspect's car to investigate their daughter's mysterious death
- 49ers TE George Kittle makes 'wrestling seem cool,' WWE star Bayley says
- Aridity Could Dry Up Southwestern Mine Proposals
Recommendation
Romantasy reigns on spicy BookTok: Recommendations from the internet’s favorite genre
Congo’s President Felix Tshisekedi is sworn into office following his disputed reelection
Women and children are main victims of Gaza war, with 16,000 killed, UN says
How Patrick Mahomes Scored the Perfect Teammate in Wife Brittany Mahomes
Backstage at New York's Jingle Ball with Jimmy Fallon, 'Queer Eye' and Meghan Trainor
Massachusetts man brings his dog to lotto office as he claims $4 million prize
Navajo Nation 'relieved' human remains didn't make it to the moon. Celestis vows to try again.
Heat retire Udonis Haslem's No. 40 jersey. He's the 6th Miami player to receive the honor