Third-Party Delivery Service

What You Need to Know

Your restaurant remains liable for the quality and safety of the food you prepare — if a customer gets food poisoning from a meal delivered by DoorDash, you can still be sued under products liability even though you didn't handle the delivery. You're also typically responsible for the food until the delivery driver picks it up. The delivery service, by contrast, typically provides insurance for their drivers while in transit and generally has liability coverage for delivery-related incidents.

Critical insurance considerations:

• Verify your general liability policy covers food products liability regardless of delivery method
• Review whether you need to be added as an additional insured on the delivery service's policy, or vice versa
• Consider cyber liability coverage for data breaches affecting customer information processed through delivery platforms
• Request and verify insurance certificates from third-party delivery services showing adequate coverage

Why It Matters for Restaurant Owners

There are real gray areas regarding who is liable for various incidents, such as food that arrives cold or spoiled due to delivery delays, or tampering during delivery. Even though you're not handling the delivery, you remain responsible for significant aspects of the transaction, and bad delivery experiences reflect on your restaurant's reputation even though you didn't control those aspects.

Essential protective practices:

• Package food securely with tamper-evident seals
• Include clear handling and reheating instructions
• Train staff on proper handoff procedures to delivery drivers
• Document your food safety practices to defend against claims arising from delivery issues

Third-party delivery doesn't eliminate your liability — it creates a shared liability situation that requires careful insurance review and clear contractual agreements.