NJ A1898

Third-party food delivery apps and websites would be prohibited from charging restaurants service fees greater than 20% of the individual order cost, or greater than 10% when the restaurant handles its own delivery

Restaurants may voluntarily opt to pay up to 25% of order costs to access additional advertising or other services from delivery platforms

The fee caps apply to third-party online food ordering services but exclude websites owned, controlled, or managed by the restaurants themselves

Violations constitute unlawful practices under New Jersey's consumer fraud act, punishable by up to $10,000 for first offenses and $20,000 for subsequent offenses, plus potential cease and desist orders and treble damages

The law would expire after 25 months, with the Director of the Division of Consumer Affairs required to report within 24 months on impacts to restaurants, consumers, and delivery platforms and recommend whether to make the restrictions permanent