Consumer Panel Penalizes Ice Cream Retailer

Chandigarh Resident Awarded Damages Over Illicit Surcharge

by The_unmuteenglish

CHANDIGARH, JUNE 8 — The District Consumer Disputes Redressal Commission in Chandigarh has penalized a regional ice cream parlor for adding an unauthorized service charge to a customer’s receipt, ordering an immediate financial refund and a penalty for unfair trade practices. The consumer protection body directed the vendor, Twisting Scoops Private Limited, to pay ₹5,000 in general damages to a local resident who contested the mandatory fee.

The regulatory directive requires the establishment to return the ₹35.75 transactional charge alongside an active interest rate of 9% per annum, calculated from the initial date of the purchase.

The legal case developed after local resident Satinder Pal Singh Bhullar, represented by advocate Ravi Inder Singh, stopped at the highway franchise location along the Jalandhar-Chandigarh Grand Trunk Road on February 23, 2025. Bhullar completed an order totaling ₹394 but identified a separate 10% line item appended to the bill as a mandatory processing fee.

“He was compelled to pay the total bill, including the service charge,” the formal legal filing stated, noting that the retail manager on duty refused to adjust the balance or provide clarification when the customer challenged the addition.

The consumer bench determined that the business entity violated national market declarations by forcing the transaction. Under explicit operational frameworks enacted by the Central Consumer Protection Authority on July 4, 2022, hospitality vendors and restaurants are barred from embedding automatic service percentages into standard customer invoices.

The judicial panel noted that the retail management failed to file a formal written response or defense during the designated statutory window, validating the complainant’s petition. The commission concluded that the non-compliant billing structure directly constituted a deficiency in service, causing preventable harassment to everyday patrons.

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