Service charges and the law

My boyfriend and I recently went into a restaurant which was participating in the Taste card 50% off your food bill promotion, which we checked before sitting down for our meal.

When we got the bill the 50% had been taken off for food (£21.50) and £5 had been added for our drinks, taking the total to £26.50. The restaurant had then added £7.50 service charge making the total £34. We thought charging us this much service charge on effectively a £26.50 bill was excessive so we paid £30 and prepared to leave.

However, the waiter and the manager then stood in front of the door and said we weren't allowed to leave until we had paid the service charge (we were the only customers in the restaurant). We said that service charge is discretionary (and the menu just stated service not included) and they said that either we pay all the service charge, or we can't have the 50% off from taste london.

We tried reasoning which then which was fruitless, so we phoned the police. An officer was on his way when we made a dart for the door and managed to get away though not before they tried to take photos of us in the street.

I was upset by this as I was sure service charges were optional - nowhere did it state the amount. What is the law on this?
Many thanks in advance.
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Comments

  • geri1965_2
    geri1965_2 Posts: 8,736 Forumite
    I'm pretty sure they are optional.
  • I'm fairly sure it is optional too, not sure how interesting Trading Standards would be.

    I'd report it to the Tastecard scheme that they are holding you to ransom to pay extra. Might cost them a few diners if Taste pull them from the website and nobody seems they are in the scheme
  • Shocking. If I were you I'd name and shame the restaurant on here. We face this too quite often in London. It usually says on the menu a ''discretionary'' or ''optional'' 12.5% service charge will be added to your bill which obv means you can choose not to pay it. But the restaurants will waffle about and say all sorts of things to insist you pay it. I then bring out my phone, google ''discretionary'' and show them that it means I have the freaking choice ;)!

    I only do this when they add the service charge to the original bill before the discount - which effectively makes it a 25% service charge. I've never had anyone refuse point blank to take it off though so I'm sorry to hear about your case. In my case they take it off and moan and grumble and mutter under their breaths (which is fine by me)!

    I think it'd help if we started a Taste Card thread with the names of restaurants that charge the SC on the original figure and those that take off the 50% and then apply it - as it should be. Thoughts?

    I can start with a few London ones..
    - The Thai Restaurant, Fulham - On Full Bill = Bad
    - Walmer Castle, Notting Hill - On discounted Bill = Fab
    - Antonia's - On Full Bill = Bad
    - Delima - On discounted Bill = Fab
    - Miss Q's - On Full Bill = Bad
    - Royal China, Putney - On Full Bill = Bad (REALLY snarky about taking it off. Dirty looks like you cannot imagine!)
    - Thai Square, Putney - On Full Bill = Bad
    - Zen China - On Full Bill = Bad
    - Dalchini Hakka - On Full Bill = Bad
    - Satori Robata - No SC = Gotta love them
    - Haozhan - On Full Bill = Bad

    Have lots more but only if people are actually interested to know. Don't want to bore people to tears ;)
  • Mk14:37
    Mk14:37 Posts: 624 Forumite
    Part of the Furniture Combo Breaker
    The service charge is discretionary, and you can also refuse to pay a restaurant bill if it was really so bad, as long as you offer to pay what you believe is reasonable and leave your contact details.

    I've noticed that some Groupon deals specifically state that service charges of the full cost of the meal will be applied, and that this is not discretionary. IMHO, as long as you are made aware at the start, this seems reasonable.
  • Surreystarlet
    Surreystarlet Posts: 118 Forumite
    edited 9 February 2011 at 12:10AM
    Thanks for all your replies.

    The restaurant was a lebanease restaurant in Harriet Street, Knightsbridge just down the road from Harrods and Harvey Nics......

    I contacted Taste, who where very apologetic and said they are putting the restaurant on a months 'trial' to see if anyone else complains and they are going to put on their site about the 15% charge on the full bill that must be paid. They said they couldn't remove the restaurant straight away as they had to be impartial and the restaurant claims a very different story...... I was hoping they would to be honest, but searching on the site tonight I can't see the restaurant on the taste site anymore anyway.

    I did contact trading standards though (thanks mynameisdave!) who said they are going to investigate it as 'unfair business practice is a criminal offence' so fingers crossed!

    And I think a Taste card thread would be a really good idea - if you start it sheer_vanilla I'll add to it!
  • That must be Beit Eddine? We nearly went there a couple of weeks ago to try it out but then ended up at Laya Lina. Anyway glad to know Taste Card were good about it. I've started the thread (in the same board) so do please add to it as and when. Makes life easier being forewarned! :)
  • I am not sure whether this charge is optional.I need to look into this. We went to a chinese restaurant in Manchester China Town last Month & paid about £7 service charge. I paid it as it was largely advertised on the front door ' a Service charge will be added'.

    I have also experienced this service charge on several night outs with colleagues for a chinese meal.

    However last year I went to a chinese restaurant in London China Town and I was charged a service charge of about £6. I did not realise this until I got home. I wrote to them saying I was not made aware that there will be service charge and they refunded me by cheque.

    This practice seem to be popular in chineese restaurant. :mad:
  • sheer_vanilla - you had a very lucky escape!!!

    If a service charge is mandatory it has to be advertised as mandatory and the amount to be added stated. I think if it is mandatory it is often advertised as a cover charge rather than a service charge.

    Otherwise there is nothing to stop them charging 100% and forcing you to pay it! If the bill just says service not included, then it isn't mandatory to pay it as a) it doesn't say it's a mandatory charge and b) it doesn't say how much.
  • I contacted Taste, who where very apologetic and said they are putting the restaurant on a months 'trial' to see if anyone else complains and they are going to put on their site about the 15% charge on the full bill that must be paid. They said they couldn't remove the restaurant straight away as they had to be impartial and the restaurant claims a very different story...... I was hoping they would to be honest, but searching on the site tonight I can't see the restaurant on the taste site anymore anyway.

    Tastecard don't accept negative reviews on their website, but they do on their facebook page if you want to name and shame.

    Some places in London do apply the service charge to the pre-discounted bill, but it tends to be optional for parties of only two diners. I have no real problem with the service charge being calculated in this way - but I think the way the restaurant treated you was very wrong. If you don't feel the service charge is reasonable based on the service you received, there is rarely an obligation to pay it. The exception is usually for groups over X size, in which case it's stated clearly on the menu that it will be charged.
  • I'm just looking at a groupon restaurant deal that i'm thinking of buying as a gift for a friend's birthday.
    Before i buy,- i just want to clarify something.
    All it says re service charge is that it is not included. Doesn't say what it is either.
    Does this mean that it will be automatically added on to my bill, and on the full cost of the meal,- or does it mean that the service charge is at my discretion?
    TIA, i'm getting myself confused about this whole service charge/gratuties thing.
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