New Delhi [India]April 29 (ANI): The Central Consumer Protection Agency (CCPA) has taken the cognition of five Delhi-based restaurants to cover non-wire transfer fees, including Makhna Deli, Xero Deli, Xero Courtyard, Castle Barbeque, Chaayos, Chaayos and Barbeque Nation’s Fiesta Nation failed to be sentenced by a high-level court, but Barbeque Nation was not sentenced.
The Consumer Affairs Department, Food and Public Distribution Department said in a statement Tuesday that it had issued a notice under the Consumer Protection Act of 2019 directing restaurants to refund service fees.
The ministry said the measures are intended to reduce improper pressure on consumers to pay additional amounts when providing services to any restaurant, as no hotel or restaurant is allowed to charge service fees or service fees from consumers under any other name.
The Central Consumer Protection Agency (CCPA) issued guidelines in 2022 to curb unfair trade practices and protect consumer interests regarding hotel and restaurant service fees.
The guide stipulates that no hotel or restaurant may automatically increase service fees, or by default, in food bills.
Under the guidelines, no other name should collect service fees.
No hotel or restaurant shall force consumers to pay service fees, and shall not explicitly notify consumers that the service fees are voluntary, optional, and may be at their sole discretion as directed. The guide further requires that the access or provision of services shall not be restricted from services based on services.
In addition, service fees shall not be charged by adding it with food bills and levied GST based on the total amount.
On March 28, 2025, the Delhi High Court upheld the CCPA’s service guidelines. Subsequently, it came to the notice of the Central Consumer Protection Authority (CCPA), through complaints received on the National Consumer Helpline (1915), that grievances had been registered alleging that certain restaurants continued to impose a mandatory service charge without obtaining prior consent from consumers, thereby disregarding consumer rights and indulged in unfair trade practices as per the Consumer Protection Act, 2019.
The Central Consumer Protection Agency (CCPA) was established under Article 10 of the Consumer Protection Act of 2019. Its main task is to regulate matters related to violations of consumer rights, unfair trade practices, and false or misleading advertising that are harmful to the interests of the public and the general public as a whole. (ANI)
