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Odd Lots · Friday, July 24, 2026

Amazon's Delivery Model: A Franchise-like Structure Without the Liability

Brian Calachi distinguishes Amazon's Delivery Service Partner (DSP) model from Uber's individual contractor approach, stating it more closely resembles a franchise. DSPs operate as distinct businesses using Amazon branding and trucks but are legally separate, allowing Amazon to control operations and exert influence without direct employment liabilities, a strategy enabled by decades of franchise-related legal battles.

personBrian CalachicompanyAmazoncompanyUbercompanyLyft

The tape

3 quotes
But the Amazon is called that a delivery service partner or a DSP model is much closer to a franchise than that. Every driver is not an independent entrepreneur. It's the contractor company.
Brian Calachi
So yeah, I think we should have First of all, you got it, we have to account for the cost on workers and other communities and all that kind of stuff. But also, I mean, my proposition for policy here is pretty simple. Is that the problem is not that there's innovation, that there's control. That's what a firm is, That's what a corporation is is. You know, markets shouldn't do everything. Sometimes having a little central planner, you know, a mini central planner, you know, coordinating activity is a great thing for you know, getting more efficient and innovating.
Brian Calachi
So if you want to direct to control the work of these drivers, well look you're their employer. And if you're not paying them the you know, the legal wages, or if they want to bargain with you for a union, or if you know, because of you, because of your algorithm, they ran a red light and hit someone, that's those are all those things you caused. You should be held responsible for those.
Brian Calachi
Heard on Odd Lots — “How Franchise Restaurants Opened the Door to the Gig Economy, published Friday, July 24, 2026. Heardvine summarizes and quotes with attribution and timestamps, and links to the original everywhere.
Transcribed via publisher transcript · $0.00