3 min readChandigarhJan 28, 2025 02:13 PM IST
First published on: Jan 28, 2025 at 02:13 PM IST
Next time you dine out at a restaurant in Chandigarh, make sure you are not levied service charge in the bill. For, the Chandigarh administration has issued a directive to hotels and restaurants mandating that they shall not add service charge automatically in the bill nor collect it under any other name from consumers.
Restaurants in the Union Territory were reportedly found collecting service charge from customers in addition to the total price of the food items mentioned in the menu and applicable taxes, often in the guise of some other fee or charge. The practice was allegedly followed by eating outlets without informing consumers that paying such charge is voluntary and optional.
“No hotel or restaurant shall force a consumer to pay service charge and shall clearly inform the consumer that service charge is voluntary, optional and at consumer’s discretion. And no restriction on entry or provision of services based on collection of service charge shall be imposed on consumers. Service charge shall not be collected by adding it along with the food bill and levying GST on the total amount,” Chandigarh administration specified.
“Further, It has also been noticed that some customers have been paying tips to the waiters in addition to service charges under the mistaken impression that service charge is a part of taxes,” the UT said in a statement.
As per the guidelines issued by Central Consumer Protection Authority (CCPA), under the Consumer Protection Act, 2019, Service Charge cannot be added in the bill involuntarily, without allowing consumers the choice or discretion to decide whether they want to pay such charge or not.
In public interest, Chandigarh administration also sent out a message to people.
What can be done if service charge is levied
In case a hotel or restaurant has imposed a service charge in violation of the guidelines, the administration said that a consumer may make a request to the hotel or restaurant concerned
to remove service charge from the bill amount. The person can lodge a complaint on the Consumer Helpline, which works as an alternative dispute redressal mechanism at the pre-litigation level, by dialling 1915 or WhatsApp number 8800001915 or through the NCH mobile app, the Chandigarh administration stated.
Consumers can file a complaint against unfair trade practice with the Consumer Commission, it was specified.
The complaint can also be filed through www.e-jagriti.gov.in for its speedy and effective redressal and submit a complaint to the CCPA by e-mail at com-ccpa@nic.in.
Besides, the aggrieved person can also approach the Department of Food & Supplies and Consumer Affairs and Legal Metrology, UT, Chandigarh, through helpline number 0172-2703956 or email at fcs-chd@nic.in for subsequent proceeding by the CCPA.
The practice was allegedly followed by eating outlets without informing consumers that paying such charge is voluntary and optional. (Representational Photo/ Express Photo by Abhinav Saha) 
Share
