Updated on: August 23, 2025 11:46 AM IST
A High Court bench questioned the need to carry a service fee on food bills, at the top of the hicked MRP being charged with customers in the name of experience.
The Delhi High Court overshadowed the restaurant on Friday, while charging the service fee from customers, while already selling products with a hike MRP.
A bench of Chief Justice Devendra Kumar Upadhyay and Justice Tushar Rao Gedela questioned why a service and atmosphere was already not covered in the high MRP charge in the name of experience, why there was a need to impose additional service fees from customers.
“You (restaurants) are charging more than MRPS, for the experience of enjoying the person coming to your restaurant. And you are also charging service fee for the service provided … providing an environment for some type of experience will not include the services you are providing? We will not join us,” It doesn’t understand, “it does not understand,”
Citing an example 20 water bottles are being sold In 100 restaurants, the High Court bench asked the National Restaurant Association of India (NRAI) and Federation of Hotels and Restaurant Association of India (FHRAI), why was the restaurant not specifying the restaurant 80 atmosphere was being provided.
“This cannot happen like this. This is an issue … providing the atmosphere will be part of the services provided by you … can you charge any amount above and above the MRP? And you are charging for service, what is the 80 rupees for this?” The bench was cited by the news agency PTI,
The High Court comment comes after months after a single judge of the court in March that the service fee cannot be compulsory by the restaurant in a “camouflage and forced” manner, it is called inappropriate trade practice.
The court, in its March 28 order, stated that the food bill is being made to pay a service fee and goods and service tax (GST) at the top of the fee, comes as “double whami” for consumers.
(With PTI input)
