California's New Law: Food Delivery Customers Now Have the Right to Talk to a Human Representative

California's New Law: Food Delivery Customers Now Have the Right to Talk to a Human Representative

A new California law that went into effect last week requires food delivery companies to provide customers with a human customer service representative when automation fails to resolve their issues. This legislation also mandates that companies offer refunds in the original form of payment for wrong or undelivered orders.

Caption: A California law requires food delivery companies like Uber Eats and DoorDash to provide customers with a human customer service representative when automation cannot solve their issue. (Tomohiro Ohsumi / Stringer via Getty Images)

Key Provisions of the Legislation

The law, introduced by Assemblymember Rebecca Bauer-Kahan and signed by Governor Gavin Newsom in October, puts guardrails around how food delivery companies handle service issues and limits their reliance on automation. While companies can still use automated systems initially, they must provide prompt access to a human representative if automation cannot address the problem.

Impact on Customer Service Strategies

This legislation challenges the deflection-first AI strategies that have dominated customer service in recent years. According to Vasili Triant, CEO of UJET, this could signal a shift in the industry, with potential regulatory consequences for companies that misapply AI.

Expert Perspectives on AI and Automation

Jeff Fettes, CEO of Laivly, emphasizes that while AI can be useful, companies must ensure it can successfully handle consumer complaints. "The moment AI starts making customer decisions, trust becomes the product," Fettes noted, highlighting the need for AI systems to recognize edge cases and escalate when necessary.

Looking Ahead: AI Governance and Regulation

California is leading the way in AI regulation, but experts stress that companies should not wait for government action. Instead, they should implement strong AI governance to earn public trust and avoid regulatory issues. Fettes added, "AI is moving faster than government can right now, which makes it incumbent on brands and AI companies to lead with strong governance."