Watch: Noida restaurant staffers, customers come to blows over Rs 970 service charge; 5 arrested

Noida, June 19

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A clash broke out between some restaurant staffers and a group of customers, including women, inside a shopping mall here, prompting the police to investigate the matter and arrest five people, officials said on Monday.

Those arrested include three restaurant workers and two from the customers’ group after counter complaints were made on behalf of both sides and FIRs lodged by the police on charges of rioting and assault, they said.

you make a mess for just 970/- service charge, what make you think that the waiter charge you this much, why not complain in appropriate way this is a Restaurant even a ZOO have its own rule 😰🙏🙏#Noida #DelhiRains #HeavyRains #ChennaiRains #DeepikaPadukone #AliaBhatt #RaviSinha pic.twitter.com/JiJ2rMvF21

lydiaapynz✡♏☮⚕☦✝ (@ludiaapynz) June 19, 2023

The clash broke out allegedly after a heated argument between the two sides as one of the customers from the group of about a dozen people asked for the removal of the 10 per cent service charge levied on their bill, an official said.

The customer’s concern was first taken up with a waiter and then escalated to the manager and an argument broke out with a woman customer over the issue before the men from both sides engaged in fisticuffs, the official said.

According to the restaurant ‘Float by Duty Free’, the customers’ bill stood at Rs 11,209 including taxes and a 10 per cent service charge of Rs 970 and remains unpaid because of the brawl and their property incurred damages while some staffers were also injured.

Deputy Commissioner of Police (Noida) Harish Chander said the incident took place on Sunday night at the restaurant located in the Spectrum shopping mall in Sector 75, under Sector 113 police station limits.

“There was a fight between the two sides — the group of customers and the restaurant staffers — over the payment of service charge. Cases have been lodged on the basis of the complaint received from both sides. Those engaged in violence will be arrested,” Chander said Monday morning.

An official of the Sector 113 police station said Monday afternoon that five people have been arrested in connection with the case and the police have received video evidence of members of both sides engaging in violence.

Two counter FIRs were lodged both having the Indian Penal sections 147 (rioting), 323 (assault), 504 (insult to provoke breach of peace), 506 (criminal intimidation), 354 (assault with intent to outrage modesty of a woman), the official said.

The issue of restaurants levying a service charge in addition to government taxes has long been a vexing matter for consumers as well as the hospitality industry. One such petition is currently being heard by the Delhi high court in which the next hearing is scheduled on July 24.

On April 12 this year, the Delhi High Court said its earlier order staying a ban on the automatic levy of service charge on food bills cannot be shown by restaurants to the customers in a manner which suggests that the charge has been approved by it.

Justice Prathiba M Singh also observed that the words ‘service charge’ give an impression of being a government-backed levy and asked the petitioners to state if they have any objections to changing the term to ‘staff charges’ or ‘staff welfare fund’ etc. to avoid any confusion.

The judge asked the petitioners — National Restaurant Association of India (NRAI) and Federation of Hotels and Restaurant Associations — to also state the percentage of its members who impose service charges as a mandatory condition and directed them to file their affidavits on the queries.

Meanwhile, citing the court order, NRAI president Varun Khera said levying service charges is the sole discretion of a restaurant.

“Earlier there was a misconception among some people that restaurants cannot levy service charges. However, a court order has ruled that restaurants can impose service charges as long as they make it clear to customers,” Khera told PTI.

“If the service charge is mentioned on the menu card, it means that the customer is aware of it and they have the choice to walk out if they do not agree with the condition,” he said.

He said there is also a situation in which customers request the restaurant to remove the service charge and they accept it.

However, since the onset of the COVID-19 pandemic, the situation has been financially rough for dine-in restaurants and the hospitality industry in general, so not many agree to forego service charges, he added.