The Big Apple sued the food-delivery company Motoclick on Thursday in an escalation of Mayor Zohran Mamdani’s crackdown on apps.
Motoclick stole directly from its own workers by charging them $10 fees for canceled orders and deducting refunded orders from their pay, the lawsuit filed by the city’s Department of Consumer and Worker Protection alleged.
The app owes workers millions of dollars in stolen pay and damages, according to the city – which is looking to sue Motoclick out of existence.
Mamdani alleges the firms have stole millions from delivery drivers. Gregory P. Mango“This is an indicator of the new era that we are here in New York City, and that is a new era where it’s not just holding Motoclick to account, but it’s holding any app company to account if they are operating outside of the rules and the laws of New York,” Mamdani said during a news conference announcing the lawsuit.
Motoclick — a Bolivia-based company which bills itself as a third-party delivery solutions service that can integrate with top apps like Uber Eats, DoorDash and Grubhub — promises clients lower fees on its website.
The new lawsuit, filed Thursday in Manhattan Supreme Court, claimed Motoclick operated as a scam that targets and steals from immigrant workers.”
The company stole tips, pocketed workers’ cuts from deliveries, didn’t pay minimum wage and blocked workers from using the app if they tried to get the money they were owed, the suit claims.
The city — under the Adams administration — received more than 20 worker complaints about stolen money and retaliation from the company in 2024, the suit stated.
The city claims Motoclick forced workers to accept deliveries before disclosing addresses, estimated delivery time, tip or pay — forcing them to “accept orders blindly.”
Workers using Motoclick wouldn’t even learn their pay until after a delivery was finished, which the city said is a violation of that law which requires full disclosure before accepting a job.
The company would outright “refuse to pay entirely” in some cases, the suit said.
Sometimes workers even owed Motoclick money at the end of the shift, thanks to a Kafka-esque system of “illegal” fees, including docking them $10 for a canceled order — and the full order amount if the customer reports it arrived damaged.
A review of dozens of pay statements “showed one or more illegal fees,” according to court papers.
And when workers complained, Motoclick retaliated by blocking them from logging in — or deactivating their accounts entirely.
In addition to making the workers whole, the city’s lawsuit asks for damages of three times the amount owed, plus hundreds more per other violations.
The filing comes just days after Mamdani’s administration accused DoorDash and Uber Eats of preventing delivery workers from earning more than $550 million in tips.
The one-two punch against the delivery apps is part of Mamdani’s promised crackdown on “predatory” apps that he contends are stealing money from hard-working delivery workers.
The new Hizzoner has pledged his Department of Consumer and Worker Protection will be more aggressive on behalf of New Yorkers, whether workers or customers.
“I want to be very clear: City Hall does not desire to have an adversarial relationship with any business operating in our city,” Mamdani said. “We cannot tell the story of the city without also telling the story of business.
“To those, however, who think they can make a profit while stealing from their workers, while breaking the law, make no mistake. We will have those workers’ backs each and every time.”
The lawsuit alleges Motoclick charged drivers for canceled orders. Anadolu Agency via Getty ImagesSam Levine, the department’s new commissioner, said “billion-dollar corporations” should be on notice.
“Uber and Doordash do not make their food, they don’t serve the food, they don’t ride the bikes, they don’t repair the bikes, they don’t deliver the food,” he said. “It’s time that we stand up for the people who actually make deliveries a core part of the city — that actually make our economy work, and that’s the working people of New York.”
Motoclick didn’t immediately respond to a request for comment.






