Service charge

Restaurants can continue to levy service charges until next hearing: Delhi HC


oi-Madhuri Adnal


Posted: Thursday August 18th 2022, 03:01 PM [IST]

Google One India News

New Delhi, August 18: The Delhi High Court has said restaurants in the city can continue to collect service charges until the next hearing. The High Court had also issued a notice to catering bodies after the Central Consumer Protection Authority (CCPA) appealed against the July 20 order which suspended the former’s new guidelines preventing restaurants to add default service charges to food bills. .

The Central Consumer Protection Authority (CCPA), under the Ministry of Consumer Affairs, has issued guidelines to prevent unfair commercial practices and violation of consumer rights in relation to hotels and restaurants charging service, stating that the consumer may file a complaint with the National Consumer Helpline (NCH) against such practices.

The upholding of new guidelines from the country’s consumer watchdog on July 20 followed a provocative call from the National Restaurant Association of India (NRAI).

At the previous hearing, Judge Yashwant Varma said, “Don’t pay. Don’t enter the restaurant. It’s a matter of choice.” Granting the stay, the court also ordered that information regarding the levy of service charges be displayed on menu cards and also posted in such a way that customers are aware of such charges.

Delhi HC maintains guidelines prohibiting restaurants from charging service feesDelhi HC maintains guidelines prohibiting restaurants from charging service fees

Importantly, the court also clarified that service charges cannot be levied on takeout orders. The NRAI is greatly relieved by the passage of this order, as it has also had a direct negative impact on the human capital employed in commerce.

  • French ministers accused of having dined in secret restaurants
  • Now the civic body in North Delhi wants restaurants and shops to mention that the meat is halal or jhatka
  • Ministry of Health issues SOPs for restaurants and hotels
  • Too early to say if restaurants will open in June, says MHA
  • Fake: Hotels, restaurants will not remain closed until October 15
  • False: the Ministry of Tourism did not order the closure of all hotels before October 15, 2020
  • Bengal government orders bars and restaurants to close until March 31
  • Bars in Gurgaon, Faridabad, Panchkula will remain open until 1am; Cheaper beer
  • Saudi Arabia ends rules for separate entrances and seats for women in restaurants
  • Pay before you play: Bombay HC guideline on music streaming on New Year’s Eve
  • Japanese restaurants are not doing this sensitive bird justice, say animal rights activists
  • Bitcoin exchanges under the computer radar, survey of 9 exchanges across the country

Article first published: Thursday, August 18, 2022, 3:01 p.m. [IST]