Search
Close this search box.

DoorDash Fined $2M for Over 1M Unwanted Emails and Texts

Share:

DoorDash, the well-known food delivery service, recently faced a hefty fine of $2.01 million from the Australian Communications and Media Authority (ACMA). They were penalised for breaking Australian spam rules by sending over 566,000 emails to customers who had already unsubscribed and 515,000 texts to prospective drivers without an unsubscribe option.

Why It Matters

This incident didn’t just hit DoorDash’s bank account; it revealed a big misunderstanding. They thought their texts to prospective drivers were purely factual. In reality, they were offering business opportunities, making them subject to spam laws. This slip-up shows how important it is for businesses to know the rules inside and out.

Understanding the Spam Laws

Spam refers to unwanted or unsolicited commercial electronic messages. In Australia, the Spam Act 2003 and the Spam Regulations outline the rules for sending commercial electronic messages.

DoorDash violated these rules by:
  • Sending over 566,000 emails to customers who had already unsubscribed.
  • Sending 515,000 texts to prospective drivers without providing an unsubscribe option.
The regulations require businesses to:
  • Obtain consent before sending commercial messages.
  • Clearly identify themselves in the messages.
  • Provide recipients with an easy way to opt-out.

How to Handle Spam – What You Can Do

DoorDash’s penalty stemmed from consumer complaints to ACMA about unwanted messages. If you’re facing issues with spam, know that ACMA provides clear guidelines and a spam complaint form to help you take action

Staying Compliant with Communication Laws

DoorDash’s mistake serves as a wake-up call for businesses. Compliance with communication laws is not just a legal obligation; it’s a reflection of a company’s respect for its customers. Here’s what businesses should consider:

  • Understanding Rules: Knowledge of the Spam Act 2003 and Spam Regulations is key.
  • Respecting Preferences: If a customer has unsubscribed, their wish must be honored.
  • Avoiding Costly Errors: DoorDash’s fine shows the financial risks of non-compliance.

Trust and Transparency

A company’s success depends on trust and clear communication with customers. Breaking spam rules and other standards isn’t just about fines; it can harm the trust customers have in a brand.

Picture of Ahmed Khanji

Ahmed Khanji

Ahmed Khanji is the CEO of Gridware, a leading cybersecurity consultancy based in Sydney, Australia. An emerging thought leader in cybersecurity, Ahmed is an Adjunct Professor at Western Sydney University and regularly contributes to cybersecurity conversations in Australia. As well as his extensive background as a security advisor to large Australian Enterprises, he is a regular keynote speaker and guest lecturer on offensive cybersecurity topics and blockchain.

Contact

Sydney Offices
Level 12, Suite 6
189 Kent Street
Sydney NSW 2000
1300 211 235

Melbourne Offices
Level 13, 114 William Street
Melbourne, VIC 3000
1300 211 235

Perth Offices
Level 32, 152 St Georges Terrace
Perth WA 6000
1300 211 235

Company

Learn more about the team at the forefront of the Australian Cyber Security scene.

About Us →

Meet the Team →

Partnerships →

Learn more about the team at the forefront of the Australian Cyber Security scene.

Career Opportunities →

Internships →

Media appearances and contributions by Gridware and our staff.

See More →

Services

Services

Whether you need us to take care of security for you, respond to incidents, or provide consulting advice, we help you stay protected.

View all services →

Web App Pen. Test Calculator →

Network Pen. Test Calculator →

Governance & Audit

Legal and regulatory protection

Penetration Testing

Uncover system vulnerabilities

Remote Working & Phishing

Fortify your defenses

Cyber Security Strategy

Adaptation to evolving threats

Cloud & Infrastructure

Secure cloud computing solutions

Gridware 360

End-to-end security suite

Gridware Managed Services

Comprehensive & proactive security

Gridware CloudControl
360

Harness the benefits of cloud technology

Gridware Incident Response 24/7

Swift, expert-led incident resolution

Resources

Resources

A collection of our published insights, whitepapers, customer success stories and more.

Customer success stories from real Gridware customers. Find out how we have helped others stay on top of their Cyber Security.

Read More →