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AB 116

Revises provisions relating to food delivery service platform providers. (BDR 52-898)

2025 Regular Session Introduced by Selena Torres-Fossett

AB 116 requires food delivery platforms to verify local business licenses of listed eateries and remove unlicensed listings within 10 days, or face penalties.

Chapter 22.
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Bill Summary · AB 116

AB 116 — Food Delivery Service Platform Providers (BDR 52-898) — Summary

Status: Enacted (chaptered in 2025). Effective date: January 1, 2026.

Main purpose

AB 116 requires greater verification and accountability for online food delivery platforms and the food businesses they list. The law is intended to prevent unauthorized or unlicensed food operations from appearing on delivery apps, protect consumers and brick‑and‑mortar businesses, and clarify platform responsibilities.

Key provisions

  • Licensing / verification

    • A food delivery service platform provider may not facilitate an online food order for a “food dispensing establishment” unless that establishment has any business license required by the local government for the location where the food is prepared.
    • The platform must also have a written agreement with the food dispensing establishment expressly authorizing the platform to facilitate orders (existing requirement retained).

  • Restrictions on establishments

    • A food dispensing establishment may not accept an online order facilitated by a delivery platform unless it holds the required local business license for the preparation address.

  • Removal requirement & timeline

    • If a platform receives “specific, verifiable information” that an establishment is operating without the required license or provided false/misleading license information, the platform must remove the establishment from its platform within 10 days.

  • Penalties

    • Establishments that accept orders without the required local license, or that provide false/misleading license information, are subject to civil penalties up to $100 per unauthorized order.
    • Platforms that fail to remove noncompliant establishments after the 10‑day notice period face civil penalties up to $500 for each day the establishment remains listed after the 10th day.

Who is affected

  • Food delivery platforms (e.g., apps and marketplaces) — must verify licensing, maintain written agreements, and remove noncompliant listings when notified.
  • Food dispensing establishments (restaurants, ghost kitchens, other entities that prepare food for immediate consumption) — must hold required local business licenses for the preparation address to be listed and accept orders.
  • Local governments — their business licensing regimes become the operative verification standard.
  • Consumers — expected increase in authenticity/trust of platform listings.

Enforcement and implementation notes

  • The statute imposes civil penalties and prescribes the 10‑day removal requirement; the bill text does not create a new state licensing program. The law takes effect January 1, 2026.
  • During the legislative process the bill evolved from an initial version that criminalized violations (misdemeanor) to the final civil‑penalty framework and broadened the verification standard from health permits to required local business licenses.

Stakeholder reactions (summary)

  • Nevada Restaurant Association supported the bill as protecting restaurants from unauthorized listings.
  • Technology and platform trade groups raised concerns about operational burdens, definitions (scope of “food dispensing establishment”), and verification logistics.

Compiled from official sources — confirm details with the bill’s official record.

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