If you eat in a hotel or restaurant then there is bad news for you. The Delhi High Court has lifted the ban on hotels and restaurants from charging service charges. The Central Consumer Protection Authority (CCPA) had banned the collection of service charge in restaurants through the guidelines. Subsequently, the National Restaurant Association of India (NRAI) and Federation of Hotels and Restaurant Association of India challenged this decision in the high cart.
Justice Yashwant Verma on Wednesday while hearing the petitions of NRAI and Federation of Hotels and Restaurant Association of India challenging the CCPA guidelines said that the issue needs to be considered. He has also asked the officials to file their reply in this matter. Now the court will hear on July 21. In the petition before the court, it was said that there is no such law in the country which declares the service charge to the restaurant as illegal. Therefore, this order cannot be treated as an order of the Government.