Consumer protection authority begins suo motu action against 41 restaurants for levying service charge
Business 20 Jul, 2026

Consumer protection authority begins suo motu action against 41 restaurants for levying service charge

Business To Business, New Delhi, 20th July, 2026:    The Central Consumer Protection Authority (CCPA) has initiated suo motu action against 41 restaurants across the country for automatically adding service charges to customers' bills, terming the practice a violation of consumer rights and an unfair trade practice.
Consumer Affairs Minister Pralhad Joshi said the CCPA has reiterated that the payment of a service charge is voluntary and entirely at the discretion of the customer. He added that the authority has imposed penalties on restaurants found violating the guidelines.
The CCPA has also directed the erring establishments to immediately discontinue the automatic levy of service charges on customer bills.

Related News