Panda Express may owe you money—or food—if you ordered delivery on its app

 

By Michael Grothaus

If you placed an order for delivery through the fast food chain Panda Express’ mobile app or website between July 17, 2020 and February 16, 2022, the company may owe you compensation as a result of agreeing to settle a class action lawsuit brought against it. Here’s what you need to know.

    What’s happened? Panda Express has agreed to settle a class action lawsuit that alleged the fast food chain advertised low delivery fees (usually around $2.95), but then tacked on an unnecessary “service charge.”

    What was the problem with the service charge? As the complaint explains: “This additional charge amounts to 10% more for the same food received by non-delivery customers. Because this fee is exclusively charged to delivery customers, and not to customers who order in-store or who order online and pick up their food in store, the ‘service fee’ is by definition a delivery fee. Panda Express obscures the true nature of the fee by naming it a ‘service fee.’” The complaint goes on to allege: “This hidden delivery upcharge makes Panda Express’s promise of low-cost, $2.95 delivery patently false. The true delivery costs are obscured, as described above, and far exceed its express representation that its delivery fee is $2.95.”

    Has Panda Express admitted to wrongdoing? No, the fast food chain denies any wrongdoing, but has agreed to settle the class action for $1.4 million.

    How will the settlement be paid? If you are covered under the settlement, you can choose to receive a cash payment of up to $10, or you can opt to receive up to two vouchers, which can be redeemed for one medium entree via Panda Express’ website or app. If you choose to accept the cash, your final amount received will depend upon how many other people opt for a cash payment, but you will not receive more than $10 maximum.

    Am I eligible for the settlement offer? If you placed an order on Panda Express’ mobile app or website between July 17, 2020, and February 16, 2022, and were charged a service fee with the delivery order, you are eligible for the settlement.

    How long do I have to make a claim? If you want to claim under the settlement, you must file a claim form by January 10, 2024, which you can do here.

    Where can I find out more information? You can view the settlement website here and read its detailed FAQ pages here.
Panda Express may owe you money—or food—if you ordered delivery on its app
 

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