CCPA to Challenge verdict of Delhi HC’s stay on Service Charge

The service charge on food issue has been on headlines since the start of this month. In the recent development, the Central Consumer Protection Authority has decided to challenge a verdict of the Delhi High Court. In the mentioned verdict, the Delhi High Court had put a stay on an order given by the authority in the beginning of July.

The Central Consumer Protection Authority had issued an order stopping food related businesses from charging service charge. This was followed by a petition being filed with the Delhi High Court soon after. The National Restaurant Association of India and Federation and Restaurant Associations of India filed this petition. Listening to the points forward by the associations, the legal body had put a stay order on the same on the 20th of July.

The court has listed the next hearing on the case on the 25th of November. And the Central Consumer Protection Authority will be ready with the proper documentation by then.

The initial order by the Central Consumer Protection Authority was welcomes by consumers of the country. But it was not acceptable to the hotels and restaurants who used to charge their customers. But the stay order by the Delhi High Court has managed to turn the moods yet again.