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British Columbia has placed a permanent cap on fees charged by food-delivery companies, becoming the first Canadian province to do so.
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The province on Friday officially passed the Food Delivery Service Fee Act, which it said will provide more cost certainty to restaurant and bar owners throughout the province.
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“By passing legislation to make the delivery fee cap a permanent support for restaurants, we’re leading Canada in providing more stability and certainty to the sector itself, and to the delivery drivers who work within it,” B.C.’s Minister of Jobs, Economic Recovery and Innovation, Ravi Kahlon, said in a press release.
The cap limits the fees delivery companies can charge restaurants to no more than 20 per cent of the dollar value of an order. The province said this is similar to similar permanent caps enacted by U.S. cities Seattle and San Francisco.