Uber and Grubhub are closing in on the terms for their merger, but discussion of a breakup fee is slowing down negotiations.
“The back-and-forth between Uber and Grubhub underscores how the issue of termination fees -- in which one or both parties pay a charge if a deal falls through -- has become a contentious one during the pandemic.”
Scott Deveau, Bloomberg Deals Reporter
Grubhub wants Uber to agree to pay a breakup fee if U.S. regulators block a proposed deal, but as of right now, Uber is refusing to do so; citing their concession on the price negotiations.