Current:Home > FinancePanera agrees to $2 million settlement for delivery fees: How to see if you're owed money -Nova Finance Academy
Panera agrees to $2 million settlement for delivery fees: How to see if you're owed money
View
Date:2025-04-12 07:30:37
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 [email protected]
veryGood! (1911)
Related
- The Louvre will be renovated and the 'Mona Lisa' will have her own room
- California to make $3.3 billion available for mental health, substance use treatment centers
- Rory McIlroy files for divorce from wife, day before arriving for 2024 PGA Championship
- Moms of Former Miss USA and Miss Teen USA Detail Daughters' Nightmare Experiences
- As Trump Enters Office, a Ripe Oil and Gas Target Appears: An Alabama National Forest
- Jason Kelce officially joins ESPN, will be part of 'Monday Night Football' coverage
- Mike Tyson, Jake Paul push back against speculation fight is rigged
- Latest US inflation report may provide clues to future path of prices and interest rates
- Civic engagement nonprofits say democracy needs support in between big elections. Do funders agree?
- As Melinda French Gates leaves the Gates Foundation, many hope she’ll double down on gender equity
Ranking
- SFO's new sensory room helps neurodivergent travelers fight flying jitters
- Ariana Madix Called Out for How Quickly She Moved on From Tom Sandoval in VPR Reunion Preview
- 9-1-1 Crew Member Rico Priem Dies in Car Accident After 14-Hour Overnight Shift
- Commanders coach Dan Quinn explains why he wore shirt referencing old logo
- Macy's says employee who allegedly hid $150 million in expenses had no major 'impact'
- New Builders initiative looks to fight polarization by encouraging collaboration and alliances
- Boat that fatally struck a 15-year-old girl in Florida has been found, officials say
- The Best Under $20 Drugstore Beauty Finds for Summer
Recommendation
New Zealand official reverses visa refusal for US conservative influencer Candace Owens
Harry Jowsey Shares What He’s Learned Following Very Scary Skin Cancer Diagnosis
The Cutest Bags Just Dropped at Kate Spade Outlet – Score Wristlets, Crossbodies & Totes Starting at $79
'All That' star Lori Beth Denberg alleges Dan Schneider 'preyed on' her
Current, future North Carolina governor’s challenge of power
Seattle Times publisher Frank Blethen to step down after 4 decades in charge of family-owned paper
Kyle Richards Shares Surprising Reaction to Mauricio Umansky Moving Out of Their House
Why Oklahoma Teen Found Dead on Highway Has “Undetermined” Manner of Death