New Delhi, Jan. 10 -- The Central Consumer Protection Authority (CCPA) has initiated action against 27 restaurants across India for mandatorily levying service charges, declaring the practice a violation of consumer rights and an unfair trade practice under the Consumer Protection Act, 2019.

The action follows the judgment of the Delhi High Court Delhi dated 28 March 2025, which upheld the Guidelines issued by CCPA on the levy of service charge. The Court held that mandatory collection of service charges by restaurants is unlawful and noted that all restaurant establishments must comply with the CCPA guidelines.

The Court further affirmed that CCPA is fully empowered to enforce its guidelines in accordance with the law.

According to th...