The issue came to light when the family’s accountant, who also happens to be one of the co-owners, reviewed the bakery’s transaction history. He discovered that the bakery had been consistently billed a 30% commission on delivery orders, while their signed agreement specified only a 13% rate. Over time, this discrepancy led to a massive loss—an amount significant enough to deeply affect the tight margins on which many small businesses operate.
According to Neeka, the bakery’s manager, the revelation was emotionally devastating. The family had placed a great deal of trust in their delivery partner and relied on the platform to connect with local customers. Losing over $100,000 due to an internal billing error felt not only like a breach of trust but also a violation of their financial stability. With rising costs of ingredients, wages, and rent, the overcharge posed serious challenges to their day-to-day operations.
Initially, the delivery company acknowledged the mistake and promised to make things right. A representative verbally and later through email confirmed the commission error and offered to refund the money. However, the first reimbursement proposal fell far short—offering only about $42,000. The bakery’s owners rejected this offer, stating that the figure didn’t come close to what they had actually lost. Their calculations were based on thorough documentation and clearly demonstrated a shortfall exceeding $100,000.
The situation became increasingly frustrating when, after that initial promise, the bakery received no further updates. Repeated attempts to follow up via phone and email were met with silence. Despite maintaining proof of every communication and call log, they found themselves stalled for months with no clear timeline for resolution. A renewed promise to issue the full refund within 14 days also passed without action.
After nearly two years of trying to recover the lost funds and enduring eight months of unfulfilled assurances, the family decided to publicly escalate the issue. This decision prompted a much faster response. The company eventually agreed to return the full $100,000, but no compensation was provided for the delay, no interest was included, and no penalties were acknowledged for what the family views as a clear breach of contract.
While the family was relieved to finally receive the reimbursement, they noted that the amount did little more than offset back wages and expenses they had already absorbed. For a small business, especially one with a long-standing community presence, the financial gap created by such errors is not only about the dollars lost—it also affects staffing, quality control, reinvestment in the business, and emotional wellbeing.
The case highlights the vulnerability of small businesses when dealing with large, tech-based platforms. While digital delivery services offer access to new markets, they also place small vendors in complex systems where billing issues can go unnoticed for years. Without routine financial audits or strong legal oversight, these small enterprises can end up being shortchanged without realizing it.
La Patisserie’s experience is a cautionary tale for every local business using third-party services. Contracts should be reviewed regularly, billing statements cross-checked, and even trusted partnerships should not be exempt from scrutiny. Most importantly, when errors are discovered, vendors must be willing to advocate strongly for what they are rightfully owed.
Although the bakery has now recovered the core amount, the owners believe they still suffered a substantial loss—not just in finances but in trust, time, and opportunities lost over nearly a decade. They continue serving their loyal customers in Cupertino with the same dedication, but the ordeal has left them more cautious and more determined to ensure that small businesses are not overlooked or mistreated by larger corporations.
