Service Charge

Google had argued that restricting it from charging a fee in the interim would virtually mean that the tech giant would have to provide its Playstore for free to developers in India

Effective since October 10, 2023, passengers will no longer incur handling fees for carrying musical equipment such as guitars, keyboards, violins, or other musical instruments

Despite the Central government's strict guidelines, hotels and restaurants continue to impose service charges under various pretences

Centre said that since the guidelines issued by the CCPA in July last year, more than 4,000 complaints have been registered on the National Consumer Helpline

The Restaurants' Association said that levying of service charges has been a standing practice for more than 80 years in the hospitality industry

The Delhi High Court said on Wednesday its earlier order staying a ban on automatic levy of service charge on food bills cannot be shown by restaurants to the customers in a manner which suggests that the charge has been approved by it. Justice Prathiba M Singh, who was hearing the pleas by two restaurant bodies challenging the July 4, 2022 prohibition by the CCPA, also observed that the words 'service charge' give an impression of being a government-backed levy and asked the petitioners to state if they have any objections to changing the term to 'staff charges' or 'staff welfare fund' etc to avoid any confusion. The judge asked the petitioners- National Restaurant Association of India (NRAI) and Federation of Hotels and Restaurant Associations- to also state the percentage of its members who impose service charge as a mandatory condition and directed them to file their affidavits on the queries. Additional Solicitor General Chetan Sharma said certain restaurants were misinterpreti

Asks industry bodies to tell the court how many eateries are willing to inform consumers that service charge is not mandatory

Aim is to create awareness among consumers and protect them from being overcharged; another issue is the practice by manufacturers to compel users to download apps in order to make complaints

People prefer making transactions online but regard service charges as unjustified and costly

It comes just days after, on Tuesday, HC had asked the restaurants why they could not increase the salaries of their staff instead of levying a service charge

The Delhi High Court questioned why restaurants should recover service charges from consumers as an additional and separate levy

Guidelines prohibit levy of service charge on food bills

Do you feel you were overcharged? Why are service prices not transparent?

Usually there is a marked difference between the charges promised and what we pay at the end of a service, whether at a restaurant or booking an air ticket. How can we ensure price transparency?

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No such charge on takeaway orders: Court

The Delhi High Court on Wednesday stayed the recent guidelines prohibiting hotels and restaurants from levying service charge automatically on food bills

High food inflation forces restaurants to hike prices; ban on service charge will likely lead to further increases in the prices of dishes on the menu

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Industry experts say that while restaurants will increase the food prices there is no certainty on it going to staff as it will be a part of the owner's revenue

Restaurants say they already explicitly mention the charge in notices at the gate and on the menus, and if someone chooses to use their services, they are bound to pay it