Doordash Class Action Lawsuit 2025: When to expect the settlement payout?

The Attorney General of Illinois announced the $11.25 million settlement with DoorDash over the violations of the Consumer Fraud and Deceptive Business Practices Act for their Delivery Driver tips in November 2024. The class members who have submitted the form for the settlement can expect their payout soon. 

The claim form submission deadline for the DoorDash settlement has passed on 10 February 2025. The settlement claimants waiting for their payout can check out the expected payment date and other details here.

Doordash Class Action Lawsuit 2025

The Attorney General’s Office of Illinois brought the lawsuit against DoorDash in November 2024 for the violations of the Consumer Fraud and Deceptive Business Practices Act for their Pay Guarantee Model, which the defendant used to pay the Dashers between July 2017 and September 2019. 

According to the lawsuit, the defendant led the customers to believe that their tips to the delivery drivers would increase the Dasher’s earnings the defendant generally pays, however, the claims say the defendant used the driver tips to pay the guaranteed minimum pay to the dashers. This practice led DoorDash to contribute $1 to the worker’s pay and the rest was made up through the customer’s tips. 

The lawsuit alleges the Drivers do not get any extra pay through tips which was the intention when they asked the customer to tip the drivers. DoorDash ended this practice in 2019, however, this settlement would provide relief to many workers who did delivery during this scheme. 

Now, dashers who have claimed the settlement and submitted the claim form before the deadline of 10 February 2025 must be expecting their payout. As per the settlement, the claimants can expect the payment from the $11.25 million settlement fund after 04 March 2025.   

Who will receive the Doordash Class Action Lawsuit 2025 payout?

As per the DoorDash class action lawsuit settlement, the dashers who meet the following eligible conditions will receive the settlement payout:

• Dashers who have completed deliveries to customers in Illinois via the DoorDash platform between the class period, July 2017 and September 2019 and were paid under the Pay Guarantee Model and during this period received tips through customers for such delivery that the defendant used to fulfill Guaranteed amount offered to the dashers by the company. 
• The eligible dashers who have submitted the claim form before 10 February 2025.
• The dashers who have excluded or objected to the Doordash settlement will be excluded from the settlement.

What’s the Doordash Class Action Lawsuit 2025 payout amount?

As per the DoorDash settlement, the class members would receive a payout from the settlement fund of $11.25 million. But before processing the payment to the claimants, the administrator will first use the fund to pay the following expenses:

• Administration fees and costs
• Taxes due with Dasher payments
• Additional expense connecting with the administration of the settlement. 

After the administrator pays the following expenses, they will process the payout for the eligible dashers who have claimed the settlement. As per the agreement, the administrator will process the payout for the class member within 90 days of the effective date of the settlement. 

The eligible Dashers with valid claims can receive a minimum payment of $2 with a proportional share of the settlement account based on the following formula:

$2+ Dasher Percentage (Settlement Amount – Administration Costs – $2 per claimant)

The payment per person for the claimants of the DoorDash settlement will be successfully made based on the number of claims, tips received, and many other factors.

What’s the injunctive relief offered by DoorDash through this settlement?

Apart from the monetary relief, the defendant agrees to the following injunctive relief in the settlement, such as:

• The defendant promises they will maintain the payment model regarding the food delivery orders that ensure – (i) Tips are distributed among the delivery drivers, and (ii) the consumer’s tips do not affect the DoorDash contribution to the cashier pay.
• The defendant will disclose the payment model which will be accessible to both dashers and consumers on the DoorDash application. 
• From this settlement effective date, the defendant will provide the Dashers the following information on the mobile application when they accept an order:

• The minimum pay the dasher will receive when they make the delivery of this order;
• The estimated distance of the delivery order will be visible on the app.

• The defendant will also provide the summary of the delivery they made, which will include information on base pay, consumer tips in the order, Compensation paid by Doordash apart from base pay, and consumer tips.
• The Doordash will also allow the dashers to view their dash history for at least five months in the app. 
• Now Doordash will submit a certificate of compliance with all the provisions to the OAG every six months till two years from the effective date. 

How will you receive the Doordash Class Action Lawsuit 2025 payout? 

The DoorDash class action lawsuit settlement administrator will distribute the payout to the valid claimants through the payment method they have selected in their claim form. According to the agreement, the claimants can select payment methods, such as ACH transfer, prepaid card (digital or Physical), or physical check.

The DoorDash eligible class member with valid claims who has selected the physical check and changed their mailing address recently should update their change in the mailing address to the settlement administration to receive the compensation check at the appropriate address. 

The DoorDash class action settlement claim deadline has passed and the valid claimants can now expect their payout anytime after 04 March 2025, so be ready to check your account or mails.