Outlook Business Desk
The Central Consumer Protection Authority (CCPA) has acted against five restaurants for continuing to charge mandatory service fees despite the Delhi High Court ruling.
Makhna Deli failed to comply with the Consumer Protection Act by not refunding service charges, despite the Delhi High Court’s clear stance.
Xero Courtyard is among the restaurants charged for imposing service charges without prior consent from consumers, violating guidelines issued by the CCPA.
Castle Barbeque was found violating consumer rights by collecting mandatory service charges, despite the high court’s ruling and CCPA’s directives.
Chaayos has been issued a notice for unlawfully charging service fees without customer consent, breaching CCPA regulations and the Delhi High Court’s decision.
Fiesta by Barbeque Nation has faced action for charging a service fee automatically, disregarding the consumer’s right to choose, as per the court’s ruling.
The Delhi High Court upheld the CCPA guidelines, stating that service charges must be voluntary and clearly communicated as optional, not mandatory.
Under CCPA’s 2022 guidelines, no restaurant should automatically add service charges, and it must be voluntary for consumers to pay at their discretion.