Current:Home > ContactPanera agrees to $2 million settlement for delivery fees: How to see if you're owed money -GlobalInvest
Panera agrees to $2 million settlement for delivery fees: How to see if you're owed money
View
Date:2025-04-14 05:18:14
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! (538)
Related
- Paula Abdul settles lawsuit with former 'So You Think You Can Dance' co
- 'Rust' movie shooting trials begin: What happens next for Alec Baldwin and his armorer?
- John Travolta's Moving 70th Birthday Message From Daughter Ella Will Warm Your Heart
- 2024 MLS Cup odds: Will Lionel Messi lead Inter Miami to a championship?
- What to watch: O Jolie night
- 'Splinters' is a tribute to the love of a mother for a daughter
- NASA has double the asteroid rubble it expected to receive from space mission
- Woman arrested in 2005 death of newborn who was found in a Phoenix airport trash can
- From family road trips to travel woes: Americans are navigating skyrocketing holiday costs
- Connecticut still No. 1 as top 10 of USA TODAY Sports men's basketball poll gets shuffled
Ranking
- New data highlights 'achievement gap' for students in the US
- Student in Colorado campus killing was roommate of 1 of the victims, police say
- IndyCar announces start times, TV networks for 2024 season
- Woman arrested in 2005 death of newborn who was found in a Phoenix airport trash can
- A South Texas lawmaker’s 15
- Student in Colorado campus killing was roommate of 1 of the victims, police say
- Environmental Groups Eye a Potential Win with New York Packaging Bill
- Wisconsin Legislature making final push with vote for tax cuts, curbing veto power
Recommendation
Meta releases AI model to enhance Metaverse experience
Two women killed in fire at senior housing complex on Long Island
Car insurance prices soar even as inflation eases. Which states have the highest rates?
Probe of illegal drugs delivered by drone at West Virginia prison nets 11 arrests
B.A. Parker is learning the banjo
Ruby Franke, former '8 Passengers' family vlogger, sentenced on child abuse charges
First federal gender-based hate crime trial starts over trans woman's killing
Beatles to get a Fab Four of biopics, with a movie each for Paul, John, George and Ringo