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SoftBank-backed DoorDash sued over food delivery tips

DC attorney general says company pocketed cash meant for drivers

DoorDash is accused of taking millions of dollars of tips meant for workers in Washington, D.C. (Photo courtesy of DoorDash)

NEW YORK -- DoorDash, SoftBank Group's food delivery bet valued at $12.6 billion, is being sued by Washington, D.C.'s attorney general for more than two years of alleged "deceptive trade practices."

The complaint, filed Tuesday, is seeking millions of dollars in restitution. It alleges that DoorDash misled customers into thinking tips would go to delivery workers, while in reality they went to subsidizing the company's "guaranteed" payment to said workers, also known as Dashers.

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