Tag Archives: Delhi High Court

The Delhi High Court recently ruled that payment of service charges at restaurants and hotels cannot be imposed as a mandatory charge on customers’ food bills. It dismissed the petitions filed by restaurant associations challenging the Central Consumer Protection Authority (CCPA) guidelines, prohibiting restaurants and hotels from automatically adding a service charge to customers’ bills.

In a significant development, the Federation of Hotel & Restaurant Associations of India has initiated legal action to seek appropriate remedies for hotel members affected by adverse provisions from the Delhi HC for the hospitality sector from the DGFT. “The hospitality sector must receive fair treatment under the Foreign Trade Policy,” said Pradeep Shetty, President, FHRAI.