Many New York-based DoorDash delivery workers may qualify for a payout in a $16.75 million settlement.
Settlement Details
Newsweek reports that the settlement follows an investigation by New York’s attorney general’s office, which found that tips through DoorDash were being credited to its guaranteed payment rather than paid in addition to base earnings. The investigation also found that Dashers and customers were misled about how tips were distributed, believing they would serve as additional compensation.
Who Qualifies
Those who worked for DoorDash delivering food in New York between May 2017 and September 2019 and had some or all of their customer tips applied to the guaranteed payment will be eligible for the settlement, reports Newsweek. To file a claim, Dashers must meet both conditions and have received a notice from the settlement administrator. The claim deadline was Feb. 13, 2026, and claims could be submitted online or by mail.
According to Alex Beene, a financial literacy instructor for the University of Tennessee at Martin, there will be no formal registration, reports Newsweek.
“DoorDash will reach out to affected employees on further details and any questions they may have,” Alex Beene said, according to Newsweek. “This settlement brings to light concerns from not just those who use food delivery apps for consumption, but also those who work through them. They want to ensure they’re being fairly paid, and all additional pay, like tips, goes to the right area.”
Payout Details
Nearly 63,000 New York delivery workers were affected by DoorDash’s tipping policies between May 2017 and September 2019, reports the outlet. Payments are being distributed on a bimonthly basis via check or other payment methods such as ACH, Venmo, Zelle, or prepaid card. Only claimants whose shares are at least $10 will receive payouts.
Payments are being managed by Atticus Administration LLC, which will also answer questions tied to the claimant’s fund, according to details shared by the New York state attorney general.
