In a pursuit of justice, James Trees, the proprietor of the renowned Esther’s Kitchen in Las Vegas and nominee for the 2020 James Beard Award, has spearheaded a class-action lawsuit against the food delivery giant, Uber Eats. This legal action has not only been taken by Mr. Trees but also by three other notable Las Vegas eateries. The suit criticizes the online food delivery platform for tolerating false identities that mimic well-established restaurant brands, thereby exploiting business owners’ efforts and hard-earned reputation to fraudulently draw customers away from the genuine restaurants.
In an impassioned social media post on Facebook earlier this week, Trees confronted Uber Eats, questioning the platform’s protection of its affiliates’ reputation by allowing unsavoury businesses to pose as established enterprises. “Here I have built a reputable business from scratch,” he voiced, “and these masquerading restaurants siphon off my customers. Who amongst my lawyer friends is ready to tackle this giant for its negligent enabling of deceitful practices?”
Gaetano’s Ristorante, Manizza’s Pizza, and BabyStacks Café have joined Esther’s Kitchen in this class-action lawsuit, which was lodged on Wednesday in the Clark County District Court. A total of nearly 20 fraudulent websites impersonating respected Las Vegas restaurants were uncovered, their presences not limited to Uber Eats but extending to Grubhub and other food delivery applications. The lawsuit categorically claims that the platforms have permitted individuals posing as legitimate restaurants to operate without requiring adequate authentication.
The charges laid in the lawsuit include allegations of fraud, diversion of funds, civil racketeering, and negligence. In addition to Uber, the lawsuit also implicates Rasier LLC, the payroll company responsible for Uber’s drivers, Berchman Melancon, the management company overseeing Uber Eats in Nevada, as well as several unnamed individuals and entities.
Early this week, Uber Eats responded to media reports exposing the scam, including our own publication, by eliminating the fraudulent enterprises from its platform. The legal proceedings, however, are seeking unspecified financial compensation for the already-inflicted damages and the 30% commission collected by Uber on all orders placed through these bogus restaurants.
The lawsuit states that the defendants at the very least, should have known that the purported restaurants were not the actual registered businesses and that legitimate eateries were enduring harm as a result of the misconduct.
As a cautionary practice, consumers should verify the authenticity of the restaurant prior to placing an order through a food delivery app. Cross-check the restaurant’s address for inconsistencies or directly contact the restaurant to confirm if they are offering their services through the app in question. Or even more simply, always ascertain the restaurant’s reviews before proceeding with an order.
For instance, the authentic Esther’s Kitchen is situated at 1131 S. Main St. in downtown Las Vegas, while its Uber Eats imposter listed its location at 10890 S. Eastern Ave., Suite 107, in Henderson, the address of another eatery called NY Pizza & Bagel Café. The same misrepresentation occurred with Gaetano’s Ristorante, a much-respected, family-owned establishment that has been serving Henderson, Nev. for the past two decades. Its listed address on Uber Eats matched a 1.5 Yelp-starred Boss Pizza, instead of its original location.
