Early in 2026, India’s government along with watchdogs for buyers moved firmly against hidden fees on dining checks. Backed by top court figures in the national capital, the change shakes up how eateries reveal costs and rules now block forced extras that were once slipped quietly into totals. So yeah, diners gain clearer sight into what they actually owe, this is a ruling like this that reshapes fairness in food service billing across the nation.

Right in the middle stands the Central Consumer Protection Authority, set up by the 2019 Consumer Protection Act to spot and respond when businesses play unfairly. Because of its role, slapping on a service fee without saying so clearly beforehand, plus lacking real approval from the buyer counts as an unjust method under India’s rules for consumers.

Over time, restaurantgoers across India kept stumbling upon extra fees – 5%, maybe 10%, tucked between GST and older tax lines. Though labeled as gratitude for workers, these weren’t chosen by customers at all and were often slipped into the total before anyone could object. The surprise hit harder when meals came with slow refills or cold chai, and service actually left the chat but oh oh… service charge didn’t. 

Delhi High Court Says Mandatory Service Charge…. 

Back in March 2025, a key moment unfolded as the Delhi High Court backed the CCPA’s rules. Voluntary only, that’s how service charges need to stay, if the extras are tacked onto diner checks? That crosses a line! 

It tramples consumer rights. Judges called it what it is, a shady move by businesses that will not be allowed. 

It should remain a customer’s call, said Justice Prathiba M Singh, when it comes to paying extra beyond the bill, whether called a tip or service charge. Forced additions are not allowed, she ruled. 

The idea stood firm even as groups representing eateries argued otherwise, saying nothing in the current rules stops them from adding those fees outright. Their push got turned down as courts found no room for compulsory extras, regardless of what labels restaurants might give them. Even when rules allow it, eateries might suggest a tip, or call it a service fee, yet slipping that cost onto the check without asking crosses a line. Paying extra stays voluntary and forcing it doesn’t fit within the law.

Can the Government fine the restaurant? 

Late last year, a court order pushed authorities into action. By January 2026, new pressure emerged for businesses to follow the rules and the team responsible for consumer rights stepped up checks across cities. Officials clarified one thing clearly, that adding fees without asking first is not allowed. That move, they said, goes against legal safeguards meant for buyers. 

Charging guests behind their backs now counts as unethical selling behavior. Firms caught skipping consent could face consequences, and rules around tipping became stricter than before. It may seem like a teeny weeny update, but on actual paper, it changes how places handle their payments. Silence from customers does not mean agreement and expectations changed overnight for eateries and stays. 

Fines now back enforcement and across India, 27 eateries have paid penalties, some as high as fifty thousand rupees, after keeping service fees glued to bills without choice. Refunds must go out for every charge taken wrong and systems that auto-add these costs are being scrapped under the directive. Rules demand clean invoices from here on. Yay! 

It’s up to each diner whether they pay the added fee and restaurants must make that clear. Officials insist that no one can be turned away just because they skip the extra amount. 

The beloved Barbeque Nation caught in a service charge facade 

A well-known example is Barbeque Nation Hospitality Limited, a major player among India’s buffet-style eateries. News coverage at first pointed out possible issues after it emerged that service fees were being added to diner checks, raising questions about compliance with recently updated rules.

Still, the eatery made a public note saying it doesn’t add service fees at any of its locations now, instead following every legal rule without exception. Official word explained the fee people questioned showed up in January 2025, just ahead of the Delhi High Court decision taking full effect. 

“In light of recent media reports regarding the Hon’ble CCPA’s observations on levy of service charge, we wish to clarify that Barbeque Nation does not levy any service charge across the country,” they said. 

It was further added that, “We are in compliance with all statutory regulations and provide a transparent, enjoyable dining experience to our guests. We look forward to hosting you soon!”

Even so, after a shopper complained in March 2025, the CCPA told Barbeque Nation to stop adding that fee and give back every rupee collected through it. Though the chain later returned the money, claiming policy updates since then, people now point to this case when talking about how rules can actually protect buyers.

How People and Eateries Are Affected

Even with clear laws and official steps, plenty of customers still say they’re hit with extra fees at eateries, especially places with AC. Lately, nearly 6 out of 10 people admitted paying such charges within the past thirty days, which hints that not everyone follows the rules. 

Some respondents pointed to tougher oversight and more straightforward directions from local authorities as ways to tighten up how these protections are followed. 

How to get service charges removed? (Even if restaurant says NO) 

Now that the rules are tighter, people eating out know exactly where they stand when paying. Clear notice has to come from eateries, up front, that tipping is not required, no pressure allowed. Service cannot be denied just because someone skips the extra fee. 

Spot a charge that should not be there? The diner gets to ask for it to be taken off. Say the place won’t budge on removing it? Then a call to the National Consumer Helpline opens the next step. Legal paths remain open too, through the consumer court if needed.

A single complaint through the NCH system sparked what became known as the Barbeque Nation case, showing how organized platforms can surface telling issues. Refunds started flowing after intervention by the Helpline, which also revealed gaps in adherence during actual operations

So, what does it mean for food paglus? 

Right now, rules have taken a big step forward for guest safety at hotels across India. Still, how well they work relies on whether people know them AT ALL, plus if businesses actually follow them. 

Service fees get labeled as optional gratuities, not fixed extras on your bill. So from now on, those hidden markups or sneaky add-ons? GONE! (unless you actively agree first). 

Diners pick their own contribution now, just like in many countries abroad.