MUMBAI: Find Girgaum-based Cream Center Chowpatty guilty of unfair commercial practice and application of restrictive commercial practices, charging a mandatory 5% service charge on food and beverage bills, a district consumer commission ordered that it be reimbursement service charge of Rs 29 with remuneration of Rs 25,000 to a city lawyer.
The commission said that restaurantThe act of charging mandatory 5% service charges on top of food and beverage bills falsely represents that the services are of a specific standard, quality and excellent as they provide a variety of other services including restaurant ambiance, air conditioning, crockery , carpets, furniture, staff including waiters for service.
“It is the set of additional services that complete the experience of customers who choose to dine at the restaurant. Constructing this narrative to charge 5% mandatory service charge from customers is highly objectionable and also illegal and therefore cannot be justified in any way,” the commission said.
He said tipping or tips are separate transactions between the customer and the service staff. “The hotel management has no role in this. It is up to the customer to decide the amount of tip and gratuity.”
Yogesh Patki filed the complaint before the Mumbai South District Consumer Disputes Redressal Commission on July 21, 2017, against the restaurant's owner, Prince Cuisines Pvt Ltd.
The commission highlighted that the service charge was mentioned on the menu in such a way that the customer will believe that it is a legal charge. “Presenting the wording of the Service Tax and the Service Charge together on one line gives rise to the belief that it is a legal fee and that the restaurant owner is authorized by law to charge it, which is incorrect,” he said. .
The commission said that restaurantThe act of charging mandatory 5% service charges on top of food and beverage bills falsely represents that the services are of a specific standard, quality and excellent as they provide a variety of other services including restaurant ambiance, air conditioning, crockery , carpets, furniture, staff including waiters for service.
“It is the set of additional services that complete the experience of customers who choose to dine at the restaurant. Constructing this narrative to charge 5% mandatory service charge from customers is highly objectionable and also illegal and therefore cannot be justified in any way,” the commission said.
He said tipping or tips are separate transactions between the customer and the service staff. “The hotel management has no role in this. It is up to the customer to decide the amount of tip and gratuity.”
Yogesh Patki filed the complaint before the Mumbai South District Consumer Disputes Redressal Commission on July 21, 2017, against the restaurant's owner, Prince Cuisines Pvt Ltd.
The commission highlighted that the service charge was mentioned on the menu in such a way that the customer will believe that it is a legal charge. “Presenting the wording of the Service Tax and the Service Charge together on one line gives rise to the belief that it is a legal fee and that the restaurant owner is authorized by law to charge it, which is incorrect,” he said. .
