Full Text of HB1266 103rd General Assembly
HB1266 103RD GENERAL ASSEMBLY |
| | 103RD GENERAL ASSEMBLY
State of Illinois
2023 and 2024 HB1266 Introduced 1/31/2023, by Rep. Maurice A. West, II SYNOPSIS AS INTRODUCED: |
| 815 ILCS 338/5 | | 815 ILCS 338/25 new | |
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Amends the Fair Food and Retail Delivery Act. Provides that beginning January 1, 2024, no third-party delivery service may charge a merchant a fee, commission, or charge per order through a digital network that totals more than 15% of the purchase price of the order, unless: (1) the third-party delivery service offers all merchants the option to obtain core delivery services for a fee, commission, or charge not to exceed 15% of the purchase price of the order without requiring the purchase of additional services; and (2) no later than November 1, 2023, the third-party delivery service notifies all merchants that have an existing contract with the third-party delivery service of this option. Defines "core delivery service". Effective immediately.
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| | A BILL FOR |
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| | | HB1266 | | LRB103 25000 SPS 51334 b |
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| 1 | | AN ACT concerning business.
| 2 | | Be it enacted by the People of the State of Illinois,
| 3 | | represented in the General Assembly:
| 4 | | Section 5. The Fair Food and Retail Delivery Act is | 5 | | amended by changing Section 5 and by adding Section 25 as | 6 | | follows: | 7 | | (815 ILCS 338/5)
| 8 | | Sec. 5. Definitions. As used in this Act: | 9 | | "Agreement" means a written agreement between a merchant | 10 | | and a third-party delivery service. | 11 | | "Core delivery services" means services provided by a | 12 | | third-party delivery service that: (i) lists a merchant and | 13 | | makes the merchant discoverable on all modalities or platforms | 14 | | offered by the third-party delivery service, including, but | 15 | | not limited to, a website, a mobile application, or other | 16 | | Internet service where a third-party delivery service lists | 17 | | merchants; and (ii) facilitates or performs the delivery of | 18 | | food or beverages from merchants to customers through | 19 | | employees or independent contractors of the third-party | 20 | | delivery service or merchant. "Core delivery service" does not | 21 | | include any other service that may be provided by a | 22 | | third-party delivery service to a merchant, including, but not | 23 | | limited to, advertising services, search engine optimization, |
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| 1 | | business consulting, or credit card processing. | 2 | | "Customer" means the person, business, or other entity | 3 | | that places an order for a merchant's products through a | 4 | | digital network. | 5 | | "Digital network" means a third-party delivery service's | 6 | | Internet site or online-enabled application, software, or | 7 | | system that allows a customer to view, search, and purchase | 8 | | products for delivery by a third-party delivery service to a | 9 | | customer. | 10 | | "Likeness" means identifiable symbols attributed and | 11 | | easily identified as belonging to a specific merchant or | 12 | | retailer. | 13 | | "Merchant" means a restaurant, bar, or other retail | 14 | | entity. | 15 | | "Third-party delivery service" means a company, | 16 | | organization, person, or entity outside of the operation of | 17 | | the merchant's business, not wholly owned by the merchant, | 18 | | that provides delivery services to customers through a digital | 19 | | network. | 20 | | "Third-party delivery service driver" means an individual | 21 | | that provides delivery services on behalf of a third-party | 22 | | delivery service to customers.
| 23 | | (Source: P.A. 102-1056, eff. 1-1-23 .) | 24 | | (815 ILCS 338/25 new) | 25 | | Sec. 25. Fee cap for core delivery services. Beginning |
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| 1 | | January 1, 2024, no third-party delivery service may charge a | 2 | | merchant a fee, commission, or charge per order through a | 3 | | digital network that totals more than 15% of the purchase | 4 | | price of the order, unless: | 5 | | (1) the third-party delivery service offers all | 6 | | merchants the option to obtain core delivery services for | 7 | | a fee, commission, or charge not to exceed 15% of the | 8 | | purchase price of the order without requiring the purchase | 9 | | of additional services; and | 10 | | (2) no later than November 1, 2023, the third-party | 11 | | delivery service notifies all merchants that have an | 12 | | existing contract with the third-party delivery service of | 13 | | the option described in paragraph (1).
| 14 | | Section 99. Effective date. This Act takes effect upon | 15 | | becoming law.
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