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Delivery company Instacart will pay $60 million in customer refunds under a settlement reached with the Federal Trade Commission over alleged deceptive practices.The FTC said Thursday that Instacart has been falsely advertising free deliveries. The San Francisco-based company isn’t clearly disclosing service fees, which add as much as 15% to an order and must be paid for customers to receive their groceries, the FTC said.Instacart has also failed to clearly disclose that customers who enroll in a free trial for its Instacart+ program will be charged membership fees at the end of the trial. The FTC said hundreds of thousands of customers have been charged but have received no benefits from memberships or refunds. Instacart+ offers members free deliveries on most orders for $99 per year.The FTC said Instacart also advertises a “100% satisfaction guarantee,” but customers who experience late deliveries or unprofessional service are typically only offered a small credit that can be used toward a future order and not a refund.“The FTC is focused on monitoring online delivery services to ensure that competitors are transparently competing on price and delivery terms,” said Christopher Mufarrige, the director of the FTC’s Bureau of Consumer Protection.Instacart denied the FTC’s allegations of wrongdoing Thursday but said it reached a settlement in order to move forward and focus on its business.“Instacart is proud to offer a transparent, affordable and consumer-friendly service. We provide straightforward marketing, transparent pricing and fees, clear terms, easy cancellation and generous refund policies all in full compliance with the law and exceeding industry norms,” the company said in a statement.Instacart shares fell nearly 2% in after-hours trading Thursday.The settlement comes as Instacart is facing separate questions about its pricing practices.Earlier this month, a report by Consumer Reports and two progressive advocacy groups Groundwork Collaborative and More Perfect Union found that Instacart charged different prices for the same grocery items even though online shoppers were filling their Instacart baskets at the same time and at the same stores.The report suggested that Instacart may be using artificial intelligence tools to drive up costs for consumers.The FTC said Thursday that it wouldn’t comment on whether it will open a separate investigation into Instacart’s pricing policies, following longstanding policy.“But, like so many Americans, we are disturbed by what we have read in the press about Instacart’s alleged pricing policies,” FTC spokesperson Joe Simonson said in a statement.Instacart said Thursday that the FTC requested information on its pricing tools and the pricing practice of the retailers it works with as part of the investigation that led to the settlement. It noted that the settlement didn’t contain any allegations about its pricing practices.In its own blog post Thursday, Instacart stressed that it isn’t a retailer and doesn’t control base prices listed on its website. It said retailers often test prices in order to see how sensitive consumers are when prices go up or down, and that’s what was happening in Consumer Reports’ case.Instacart also said the company and its retailers don’t use information about shoppers’ income, zip code or shopping history to set prices.Instacart said it encourages retailers to charge the same amount on its website as they charge for in-store shoppers. Some retailers, including Lowe’s, Ulta Beauty and Best Buy, already do that, Instacart said, but many others don’t. This story clarifies an earlier version, which suggested the FTC opened a new investigation to examine Instacart’s pricing practices. They were examined as part of the current investigation. Dee-Ann Durbin, AP Business Writer
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E-Commerce
Before food influencers were deep-frying Chipotle burritos, putting an entire serving of mac and cheese on their Chick-fil-A sandwich, and making McDonalds hash browns into ice cream sandwiches, there was another food-hack-slash-Frankenfood that ruled the internet: the quesarito. This week, Taco Bell brought it back to its official menu. The quesarito is exactly what its name implies: a fully loaded burrito that, instead of being wrapped in a regular tortilla, has been lovingly sealed inside a giant quesadilla. Its the epitome of fast-food gluttony, and as of December 18, its back in Taco Bell stores for a limited time for $6.70 (and a relatively modest 570 calories). The quesarito feels like the glaringly modern invention of view-farming TikTok food scientists, but its actually been around for more than a decadeand before it ever hit Taco Bells official menu, it started as a humble secret menu item at Chipotle. In honor of the quesaritos fleeting return, heres a look back at the history of one of the weirdestand most forward-thinkingfast-food creations to ever grace our palates. The hunt for a quesarito It was December 2013, and Fast Company editor Mark Wilson was going to get his hands on a quesarito, come hell or high water. That year, the concept of a secret menu was already popular at joints like In-N-Out and Starbucks, but company executives werent exactly embracing the idea. There was a bit of a wink-wink culture surrounding these off-menu creations, led by intrepid fast-food lovers: the internet could create a name for them, determined customers could order them, but CEOs would steadfastly deny their existence. [Photo: Mark Wilson] That was the case with the quesarito, which, according to its dedicated Wiki page, is a concept that dates back to as early as 2011. While the very first coining of the term quesarito is unclear, we do know that it started as a menu hack at Chipotle. In one viral Reddit thread from 2012, a former Chipotle employee left a comment about the quesarito in which it was described as a full-blown Chipotle burrito wrapped inside a quesadilla, or, as Wilson put it in a feature story at the time, a 1,540-calorie fallen angel. But when Wilson tried to order the quesarito at a Chipotle, he was swiftly deniedand when he talked to Chipotles then-communications director, Chris Arnold, about the experience, Arnold denied the existence of a secret menu at all. Taco Bell eats Chipotles lunch Chipotle never did acknowledge the quesarito as a true part of its menu. But where it faltered, Taco Bell picked up the slack. After some initial testing in 2013, the beloved fast-food chain introduced the quesarito as an official menu item in 2014, complete with seasoned beef, rice, Chipotle sauce, reduced-fat sour cream, all wrapped up in a grilled quesadilla loaded with melted cheeses and nacho cheese sauce. The item immediately received press after Taco Bells ad campaign to launch it accidentally interrupted the live draft of basketball star Nikola Jokiæ; but it soon became iconic in its own right. Taco Bell didnt respond to Fast Companys request for specific sales data, but, according to a press release, the quesarito was an instant sensation. Despite its popularity, the quesarito was slowly phased out of the limelight and onto Taco Bells back burners, becoming an app exclusive in 2020 and getting cut from the menu entirely in 2023. Per Taco Bells recent press release, After it left the menu, the demand only intensified, sparking tributes, fan petitions and countless pleas for its return. A quick search for quesarito on TikTok confirms that the glorified cheese bomb has a genuine fanbase. Taco Bell brought back my favorite item of all time! popular FoodToker Steph Pappas says in a new video on the rerelease. I have been doing food videos for a long, long time, and this was always my go-to. A fast-food harbinger of micro-trends to come The quesarito feels exactly like the kind of item thats primed to go viral on todays TikTok algorithm. That might be because, compared to 2013, the secret menu is a lot less secret these days. Internet menu hack culture got a major boost from the micro-trend economy on platforms like TikTok and Instagram Reelsmeaning that, every few days, a new popular food combination picks up steam and starts to feel unavoidable. Brands are picking up on this, too: Starbucks launched an official secret menu this summer; followed by Taco Bell, which debuted a feature called Fan Style that let users build their own menu items; and, most recently, Chipotle, which just unveiled an Ozempic-optimized, protein-packed menu inspired by TikTok hacks. Before all of this brand maneuvering, there was a humble, elusive creation that captured the cultural zeitgeists attention. Welcome back, quesaritoyou were always ahead of your time.
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A 911 call about a man resembling “the CEO shooter.” Body-camera footage of police arresting Luigi Mangione and pulling items from his backpack, including a gun that prosecutors say matches the one used to kill UnitedHealthcare CEO Brian Thompson, and a notebook they have described as a “manifesto.” Notes about a “survival kit” and “intel checkin,” and testimony about alleged statements behind bars.A three-week pretrial hearing on Mangione’s fight to exclude evidence from his New York murder case ended Thursday after revealing new details about his December 2024 arrest in Altoona, Pennsylvania, steps prosecutors say he took to elude authorities for five days, and what he may have revealed about himself after he was taken into custody.Mangione watched from the defense table as Manhattan prosecutors called 17 witnesses, many of them police officers and other personnel involved in his arrest. Mangione’s lawyers called none. Judge Gregory Carro said he won’t rule until May 18, “but that could change.”Mangione, 27, an Ivy League graduate from a wealthy Maryland family, has pleaded not guilty to state and federal murder charges. The pretrial hearing was in the state case, but his lawyers are trying to exclude evidence from both. Neither trial has been scheduled. Here are some of the things we learned from the hearing: Body cameras give a close-up look at Mangione’s arrest The public got an extensive, even exhaustive view of how police in Altoona, about 230 miles (370 kilometers) west of Manhattan, conducted Mangione’s arrest and searched his backpack after he was spotted eating breakfast at McDonald’s.While there were quirky moments and asides about holiday music, a hoagie and more the point of the hearing was to help the judge assess whether Mangione voluntarily spoke to police and whether the officers were justified in searching his property before getting a warrant.For the first time, body-worn camera video of Mangione’s arrest was played in court and some excerpts were made public. Taken from multiple officers’ cameras, the footage put ears and eyes on critical interactions that played out against the incongruously cheerful sound of “Jingle Bell Rock” and other Christmas tunes on the restaurant’s sound system.Officers on the witness stand were quizzed about what they said and did as Mangione went from noshing on a hash brown to being led away in handcuffs, as well as what they perceived, where they were standing and how they handled evidence after bringing him to a police station.Mangione’s lawyers argue that neither the results of the search nor statements he made to police should be mentioned at his trial. Prosecutors disagree. Carro didn’t hint at his conclusion. He invited both sides to submit written arguments and said he planned to study the body-camera video before issuing a decision. Differing views of Mangione’s statements and bag search Mangione’s lawyers noted that one officer said “we’ll probably need a search warrant” for the backpack, but his colleagues had already rifled through it and later searched the bag again before getting a warrant.Prosecutors emphasized an Altoona police policy, which they said is rooted in Pennsylvania law, that calls for searching the property of anyone who is being arrested.The two sides also amplified some contrasting signals, in officers’ words and actions, about their level of concern about whether the backpack contained something dangerous that could justify a warrantless search.The officer searching the bag, Christy Wasser, testified that she was checking for a bomb. But Mangione’s lawyers pointed out that police didn’t clear the restaurant of customers some even walked to a bathroom a few feet away and that Wasser stopped her initial search almost immediately after finding a loaded gun magazine wrapped in a pair of underwear.The find appeared to confirm officers’ suspicions that Mangione was the man wanted for Thompson’s killing.“It’s him, dude. It’s him, 100%,” Officer Stephen Fox said on video, punctuating the remark with expletives as Wasser held up the magazine. What happened before Mangione was read his rights Mangione’s statements to police prior to his arrest matter mainly because, as shown on body-worn camera video, he initially gave officers a fake name, Mark Rosario. He eventually acknowledged the ruse and gave his real name after police checked his phony New Jersey driver’s license against a computer database.The fake name promptly gave Altoona police a reason to arrest him and hold him for New York City police. “If he had provided us with his actual name, he would not have committed a crime,” Fox testified. An NYPD lieutenant testified that the Rosario name matched one the suspected shooter used to purchase a bus ticket to New York and gave at a Manhattan hostel.Mangione told police early on he didn’t want to talk, but officers engaged him for almost 20 minutes before getting him to admit to lying about his name. After that, a supervisor urged Fox to inform Mangione of his right to remain silent.An important factor in whether suspects have to be read those rights known as a Miranda warning is whether they are in police custody.Prosecutors elicited testimony from officers suggesting Mangione could have believed he was free to leave when he gave the false name. But one of the first officers to encounter Mangione testified that he “was not free to leave until I identified who he was,” though Mangione wasn’t told so. Defense lawyers also underscored that body camera video showed multiple officers standing between him and the restaurant door. 911 caller: Customers concerned ‘he looks like the CEO shooter’ For the first time, the public heard the 911 call that drew police to the Altoona McDonald’s.“I have a customer here that some other customers were suspicious of that he looks like the CEO shooter from New York,” the restaurant’s manager told a dispatcher.Still, the manager, whose name wasn’t released, initially told the dispatcher: “It’s not really an emergency.”The manager said Mangione was wearing a medical mask and a beanie pulled down on his forehead, leaving only his eyes and eyebrows visible. She said she searched online for a photo of the suspect for comparison. A hoagie reward and getting ‘the ball rolling’ with the NYPD At first, Altoona police officers were skeptical that Thompson’s killer might be in their city of about 44,000 people.Joseph Detwiler, the first officer to arrive at McDonald’s, sarcastically responded “10-4” when a dispatcher asked him to check on the manager’s 911 call, a police supervisor testified.The supervisor, Lt. Tom HanellyJr., testified that he texted Detwiler a reminder to take the call seriously and offered to buy the officer his favorite hoagie a large turkey from local sandwich shop Luigetta’s if he nabbed “the New York City shooter.”Though, Hanelly acknowledged on the witness stand, “it seemed preposterous on its face.”Hanelly said he searched for a direct line “to get the ball rolling” with NYPD investigators but ended up calling New York City’s 911 center.“We’re acting off a tip from a local business here. We might have the shooter,” Hanelly said in a recording played in court.Hanelly said an NYPD detective called him back about 45 minutes later. Mangione in court: Pumping his fist and scribbling notes Mangione stayed active throughout the hearing, taking notes, reading documents, conferring with his lawyers and occasionally looking back toward his two dozen or so supporters in the courtroom gallery.He watched intently as prosecutors played a surveillance video of the killing and viewed footage of his interactions with Altoona police. He pressed a finger to his lips and a thumb to his chin as he watched footage of two police officers approaching him at the McDonald’s.He gripped a pen in his right hand, making a fist at times, as prosecutors played the 911 call.Mangione was brought to court each morning from a federal jail in Brooklyn, wearing gray or dark blue suits instead of jail garb. His hands were uncuffed throughout the proceedings.One day, he pumped his fist for photographers. Another day, he shooed away a photographer he felt had gotten too close to him. A backpack full of ‘goodies,’ including to-do lists and travel plans Along with the gun and notebook, police officers said Mangione’s backpack was stuffed with food, electronics and notes including to-do lists, a hand-drawn map and tactics for surviving on the lam items Altoona Police Sgt. Eric Heuston described as “goodies” that might link the suspect to the killing.“Keep momentum, FBI slower overnight,” said one note. “Change hat, shoes, pluck eyebrows,” said another.One note said to check for “red eyes” from Pittsburgh to Columbus, Ohio, or Cincinnati (“get off early,” it reads). The map showed lines linking those cities and noted other possible destinations, including Detroit and St. Louis.Other items found on Mangione or in his bag included a pocketknife, driver’s license, passport, credit cards, AirPods, a protein bar, travel toothpaste and flash drives, police said.Heuston testified that he read portions of the notebook to NYPD detectives by phone and suggested that the finds “made it more likely than not that he was the shooter.” Mangione talked behind bars, prison officers say Before he was moved to New York City, Mangione was held under close watch in a Pennsylvania state prison.Correctional officer Matthew Henry testified that Mangione volunteered that he had a backpack with a 3D-printed pistol and foreign currency when he was arrested.Correctional officer Tomas Rivers testified that Mangione asked him whether the news media was focused on him as a person or on the crime of Thompson’s killing. He said Mangione expressed that he wanted to make a public statement.Rivers said Mangione also talked about his travels to Asia, including witnessing a gang fight in Thailand, and discussed differences between private and nationalized health care.Rivers said Mangione was under special supervision partly because the prison superintendent had said he “did not want an Epstein-style situation,” referring to Jeffrey Epstein’s suicide at a Manhattan federal jail in 2019. Michael R. Sisak and Jennifer Peltz, Associated Press
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