Categories: News

CCPA to challenge Delhi HC order to stay guidelines on levy of service charges in hotels

Consumer protection regulator CCPA on Tuesday said it will challenge the Delhi High Court’s decision to stay the recent guidelines issued by the government, prohibiting restaurants and hotels from levying service charges automatically on food bills.

Central Consumer Protection Authority (CCPA) Chief Commissioner Nidhi Khare said the court has stayed the guidelines of July 4, 2022, related to service charges and the matter is listed for further hearing on November 25.

”We are going to challenge before that. We are examining and will take appropriate steps so that we are heard,” Khare told reporters.

Hearing a petition filed by the National Restaurant Association of India (NRAI) and Federation and Restaurant Associations of India that challenged the CCPA’s July 4 guidelines, the Delhi High Court on July 20 ordered a stay on it. Justice Yashwant Varma, while hearing the petition, had said the issue requires consideration and directed the CCPA to file its reply and listed the matter for further hearing on November 25.

The July 4 guidelines issued by CCPA barred hotels and restaurants from levying service charges automatically or by default in food bills and allowed customers to file complaints in case of violation.

Restaurants and hotels generally levy a service charge of 10 per cent on the food bill. The guidelines said there should not be any collection of service charges by any other name.

(This story has not been edited by Devdiscourse staff and is auto-generated from a syndicated feed.)

Agency Desk

Recent Posts

List of Companies That Have Stopped Sponsoring H-1B Visas

Several major companies have stopped sponsoring H-1B visas after the new $100,000 fee rule. Firms…

1 day ago

Social Security Beneficiaries to Receive Extra $717.84 on October 31, 2025

Social Security beneficiaries will receive an early Supplemental Security Income (SSI) payment on Friday, October…

1 day ago

New IRS Rule on Inherited IRAs: Avoid the 25% Penalty Before It’s Too Late

Check when the IRA owner died, and whether they had begun RMDs

1 day ago

Social Security COLA 2026: Experts Reveal the Expected Increase and Payment Dates

Current projections by analysts suggest an increase in the ballpark of 2.5% to 2.8%.

1 day ago

2026 Social Security COLA Set at 2.7%: Experts Say Retirees Deserve More

When the announcement is made, the increment will be considered from January 1, 2026

2 days ago

US Rent Prices Stabilize After Years of Surge: Over 600,000 New Homes Delivered in 2024

US rents are cooling after years of sharp rise. In 2024, over 600,000 new homes…

2 days ago