'Sneaky' gratuity charge leaves woman out of pocket—are you a victim of this too?

Dining out is a cherished pastime for many Australians, but a recent incident has highlighted a potential pitfall that could leave you out of pocket.

A woman who offered to foot the bill first at a group dinner was left short-changed when she discovered a sneaky charge had been added to her bill.

This raised the question: Can restaurants legally do such a thing without explicit customer consent?



Cara, a Queensland resident, recently shared her experience.

After dining out with a large group, she offered to pay the bill, totalling $759, with the understanding that her friends would reimburse her later on.

However, when she received the reimbursements, she soon realised she was almost $76 short.


SDC 7.png
A woman noticed something odd with her bill after a dinner with friends. Image source: Freepik.


Upon reviewing the bill, she discovered the restaurant had added a 'sneaky' 10 per cent gratuity.

Despite the service being less than satisfactory, Cara found herself out of pocket due to this unexpected charge.

She then contacted the restaurant involved about the charge, and she said they pointed out that the gratuity fee was in fine print.

With the service they received unsatisfactory in her opinion, she was left with a burning question: ‘Can restaurants really add this to the bill without our permission?’



According to Alison and Jillian Barrett, Resident Lawyers at law firm Maurice Blackburn, provided that the surcharges are communicated in a clear, transparent, and prominent manner, restaurants can legally add this charge to the bill.

‘There is no need for them to advertise these additional fees on large signs, nor for you to sign an agreement outlining all the charges before ordering,’ they said.

‘It is enough that they are “in the fine print” at the bottom of the menu, or if you’re ordering from an app, that it’s listed on that.’

There is no limit to how much extra a business can charge a customer in additional costs, as long as the terms are explicitly stated and don't come as a surprise to the customer.



The pair then advised diners to revisit the restaurant and re-check their menu if they don't recall seeing a notice about the automatic gratuity.

Some restaurants have their menus available online, and you might be able to review them there.

If you can, take photos of the menu to demonstrate that there was no mention of the fixed gratuity or that it wasn't clearly marked.

If the gratuity isn't clearly displayed, you can request a refund from the restaurant.

If the restaurant refuses to issue a refund, you can lodge a complaint with the Australian Competition and Consumer Commission (ACCC), which has the power to investigate and enforce penalties for excessive, hidden charges.



How to Protect Yourself from Unexpected Charges

To avoid unpleasant surprises, always check the fine print on the menu or ask the staff about any additional charges before ordering.

If you're splitting the bill with friends, make sure everyone is aware of any added gratuities or service charges.

If you're paying by card, review the total amount before entering your PIN.
Key Takeaways
  • It is legal for venues in Australia to impose a gratuity fee, provided they communicate the surcharge in a clear and transparent manner on the menu or app.
  • There is no limit to the amount a business can charge for additional costs as long as the conditions are stated explicitly and are not surprising to the customer.
  • If the gratuity fee was not prominently displayed or communicated to the customer, they can take photographs of the menu, speak with the restaurant, and potentially seek a refund or complain to the ACCC.
Members, have you ever encountered a similar situation? How did you handle it? Share your experiences and tips in the comments below.
 
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There is an "up itself eatery" in Dandenong that I momentarily attended. I walked in, looked around and I couldn't see a menu displayed behind the counter. "Can I help you?" said some uppity teenage toad. " I would like a menu please". Her reply was "Scan the QR code at the door". My reply was "Don't you have a physical menu?" She said abruptly "No!"

Veggie's famous last words...."Well you can stick this shithole up your arse" and promptly walked out, vowing NEVER to return.

Never used a QR code in my life and don't intend starting now. If you want the name of this "hovel", I will proudly publish it right here!
 
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There is an "up itself eatery" in Dandenong that I momentarily attended. I walked in, looked around and I couldn't see a menu displayed behind the counter. "Can I help you?" said some uppity teenage toad. " I would like a menu please". Her reply was "Scan the QR code at the door". My reply was "Don't you have a physical menu?" She said abruptly "No!"

Veggie's famous last words...."Well you can stick this shithole up your arse" and promptly walked out, vowing NEVER to return.

Never used a QR code in my life and don't intend starting now. If you want the name of this "hovel", I will proudly publish it right here!
I dont understand the qr code thingies. They say scan your qr code On your tv also🤔really. Hello old 🧠🤣
 
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Reactions: Veggiepatch
There is an "up itself eatery" in Dandenong that I momentarily attended. I walked in, looked around and I couldn't see a menu displayed behind the counter. "Can I help you?" said some uppity teenage toad. " I would like a menu please". Her reply was "Scan the QR code at the door". My reply was "Don't you have a physical menu?" She said abruptly "No!"

Veggie's famous last words...."Well you can stick this shithole up your arse" and promptly walked out, vowing NEVER to return.

Never used a QR code in my life and don't intend starting now. If you want the name of this "hovel", I will proudly publish it right here!
Bugger it! It's called "The Public's Corner", full of pretentious wankers with their Mercedes Bents and BUMWs with the "look at moi" permeating out of their pores like a stale cabbage fart!
 
Dining out is a cherished pastime for many Australians, but a recent incident has highlighted a potential pitfall that could leave you out of pocket.

A woman who offered to foot the bill first at a group dinner was left short-changed when she discovered a sneaky charge had been added to her bill.

This raised the question: Can restaurants legally do such a thing without explicit customer consent?



Cara, a Queensland resident, recently shared her experience.

After dining out with a large group, she offered to pay the bill, totalling $759, with the understanding that her friends would reimburse her later on.

However, when she received the reimbursements, she soon realised she was almost $76 short.


View attachment 39682
A woman noticed something odd with her bill after a dinner with friends. Image source: Freepik.


Upon reviewing the bill, she discovered the restaurant had added a 'sneaky' 10 per cent gratuity.

Despite the service being less than satisfactory, Cara found herself out of pocket due to this unexpected charge.

She then contacted the restaurant involved about the charge, and she said they pointed out that the gratuity fee was in fine print.

With the service they received unsatisfactory in her opinion, she was left with a burning question: ‘Can restaurants really add this to the bill without our permission?’



According to Alison and Jillian Barrett, Resident Lawyers at law firm Maurice Blackburn, provided that the surcharges are communicated in a clear, transparent, and prominent manner, restaurants can legally add this charge to the bill.

‘There is no need for them to advertise these additional fees on large signs, nor for you to sign an agreement outlining all the charges before ordering,’ they said.

‘It is enough that they are “in the fine print” at the bottom of the menu, or if you’re ordering from an app, that it’s listed on that.’

There is no limit to how much extra a business can charge a customer in additional costs, as long as the terms are explicitly stated and don't come as a surprise to the customer.



The pair then advised diners to revisit the restaurant and re-check their menu if they don't recall seeing a notice about the automatic gratuity.

Some restaurants have their menus available online, and you might be able to review them there.

If you can, take photos of the menu to demonstrate that there was no mention of the fixed gratuity or that it wasn't clearly marked.

If the gratuity isn't clearly displayed, you can request a refund from the restaurant.

If the restaurant refuses to issue a refund, you can lodge a complaint with the Australian Competition and Consumer Commission (ACCC), which has the power to investigate and enforce penalties for excessive, hidden charges.



How to Protect Yourself from Unexpected Charges

To avoid unpleasant surprises, always check the fine print on the menu or ask the staff about any additional charges before ordering.

If you're splitting the bill with friends, make sure everyone is aware of any added gratuities or service charges.

If you're paying by card, review the total amount before entering your PIN.
Key Takeaways

  • It is legal for venues in Australia to impose a gratuity fee, provided they communicate the surcharge in a clear and transparent manner on the menu or app.
  • There is no limit to the amount a business can charge for additional costs as long as the conditions are stated explicitly and are not surprising to the customer.
  • If the gratuity fee was not prominently displayed or communicated to the customer, they can take photographs of the menu, speak with the restaurant, and potentially seek a refund or complain to the ACCC.
Members, have you ever encountered a similar situation? How did you handle it? Share your experiences and tips in the comments below.
 
There is an "up itself eatery" in Dandenong that I momentarily attended. I walked in, looked around and I couldn't see a menu displayed behind the counter. "Can I help you?" said some uppity teenage toad. " I would like a menu please". Her reply was "Scan the QR code at the door". My reply was "Don't you have a physical menu?" She said abruptly "No!"

Veggie's famous last words...."Well you can stick this shithole up your arse" and promptly walked out, vowing NEVER to return.

Never used a QR code in my life and don't intend starting now. If you want the name of this "hovel", I will proudly publish it right here!
I have a friend who always carries a black texta with him.

Just a couple of little touches on a QR code and he hangs around nearby and watches the staff go nuts trying to get their system to work.

He'll go to Hell, but he's having fun getting there.
 
As a school teacher, I taught reading - especially the instructions at the beginning of a test! Likewise: cars, the instruction book; new appliances, the manual; driving, the road signs; shopping, the sales' signs.
I was in a store this morning selling what looked (in the picture on the packaging) like a gazebo with fly screen sides for $76. Reading the side panel revealed it was the screen only: "Gazebo and accessories not included"!
Caveat emptor: "Let the buyer ... errr ... read the fine print!"
 
Dining out is a cherished pastime for many Australians, but a recent incident has highlighted a potential pitfall that could leave you out of pocket.

A woman who offered to foot the bill first at a group dinner was left short-changed when she discovered a sneaky charge had been added to her bill.

This raised the question: Can restaurants legally do such a thing without explicit customer consent?



Cara, a Queensland resident, recently shared her experience.

After dining out with a large group, she offered to pay the bill, totalling $759, with the understanding that her friends would reimburse her later on.

However, when she received the reimbursements, she soon realised she was almost $76 short.


View attachment 39682
A woman noticed something odd with her bill after a dinner with friends. Image source: Freepik.


Upon reviewing the bill, she discovered the restaurant had added a 'sneaky' 10 per cent gratuity.

Despite the service being less than satisfactory, Cara found herself out of pocket due to this unexpected charge.

She then contacted the restaurant involved about the charge, and she said they pointed out that the gratuity fee was in fine print.

With the service they received unsatisfactory in her opinion, she was left with a burning question: ‘Can restaurants really add this to the bill without our permission?’



According to Alison and Jillian Barrett, Resident Lawyers at law firm Maurice Blackburn, provided that the surcharges are communicated in a clear, transparent, and prominent manner, restaurants can legally add this charge to the bill.

‘There is no need for them to advertise these additional fees on large signs, nor for you to sign an agreement outlining all the charges before ordering,’ they said.

‘It is enough that they are “in the fine print” at the bottom of the menu, or if you’re ordering from an app, that it’s listed on that.’

There is no limit to how much extra a business can charge a customer in additional costs, as long as the terms are explicitly stated and don't come as a surprise to the customer.



The pair then advised diners to revisit the restaurant and re-check their menu if they don't recall seeing a notice about the automatic gratuity.

Some restaurants have their menus available online, and you might be able to review them there.

If you can, take photos of the menu to demonstrate that there was no mention of the fixed gratuity or that it wasn't clearly marked.

If the gratuity isn't clearly displayed, you can request a refund from the restaurant.

If the restaurant refuses to issue a refund, you can lodge a complaint with the Australian Competition and Consumer Commission (ACCC), which has the power to investigate and enforce penalties for excessive, hidden charges.



How to Protect Yourself from Unexpected Charges

To avoid unpleasant surprises, always check the fine print on the menu or ask the staff about any additional charges before ordering.

If you're splitting the bill with friends, make sure everyone is aware of any added gratuities or service charges.

If you're paying by card, review the total amount before entering your PIN.
Key Takeaways

  • It is legal for venues in Australia to impose a gratuity fee, provided they communicate the surcharge in a clear and transparent manner on the menu or app.
  • There is no limit to the amount a business can charge for additional costs as long as the conditions are stated explicitly and are not surprising to the customer.
  • If the gratuity fee was not prominently displayed or communicated to the customer, they can take photographs of the menu, speak with the restaurant, and potentially seek a refund or complain to the ACCC.
Members, have you ever encountered a similar situation? How did you handle it? Share your experiences and tips in the comments below.
Name and shame them guarantee 💯 %the staff wouldn't have seen a cent 🤬🤬🤬🤬🤬🤬
 
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As a school teacher, I taught reading - especially the instructions at the beginning of a test! Likewise: cars, the instruction book; new appliances, the manual; driving, the road signs; shopping, the sales' signs.
I was in a store this morning selling what looked (in the picture on the packaging) like a gazebo with fly screen sides for $76. Reading the side panel revealed it was the screen only: "Gazebo and accessories not included"!
Caveat emptor: "Let the buyer ... errr ... read the fine print!"
"Emma queen size ensemble - only $199! Standard compulsory accessories - two pillows for just $2499!"

Bargain! Give me two!
 
Rarely, to date. We only TIP if the service and experience was excellent!
Unfortunately, we are finding that most ‘service’ is careless, even grumpy, younger waiters answer back and argue with paying customers, and have soured the experience more often than not.
Charging an extra ten per cent of the bill for crap service is wrong!
If they want a tip, be nice and do yr job properly. If we see a stitched in ‘small print, on the menu, we leave and go elsewhere.
This is not America. Tips are EARNED not a right.
I totally agree - if the service, food and overall experience is impressive, a tip can be given if you want to.
But adding on 10% at bill time without you knowing could deter you from tipping. I wonder if staff get a cut of the 10% surcharge. It is customary to tip in America and expected with just about everything! I found the "food servers" couldn't do enough for us wherever we went. They were polite, friendly, smiley and had to be because they rely on tips to subsidise their very low pay. The food was great too, but massive serves!
 
Well, there are over 40 restaurants within a 30 minute drive of where I am sitting.

Which is an outer suburban area of a regional city with less than 2000 residents, according to the 2021 census.

So I would be guessing quite a few. 😁
More money than sense......
 
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I don't know what it's like to eat at a restaurant that needs fine print. I guess with a big group, it is necessary to know what charges may be involved. One of the big ones can be corkage if it's a BYO, or a charge to cut up a birthday cake.
The only extras I strike is if we go for a meal on a public holiday or Sunday. Most places put a prominent sign up declaring the surcharge. I'm ok with that as staff deserve to be paid the penalty rates for working on those days.
I have left tips in jars on the counter after receiving good service. That's as far as I would go.
My daughter works in a Cafe and she gets no extra pay for working public holidays yet they charge a 20% surcharge , when a customer asked her boss why he is charging extra he said because he pays the staff extra. My daughter asked the other staff and they all said the same thing, that they don't get extra .
So he is dishonest by not paying his staff
Then he is dishonest by charging the 20 %
 
My daughter works in a Cafe and she gets no extra pay for working public holidays yet they charge a 20% surcharge , when a customer asked her boss why he is charging extra he said because he pays the staff extra. My daughter asked the other staff and they all said the same thing, that they don't get extra .
So he is dishonest by not paying his staff
Then he is dishonest by charging the 20 %
I hope that cafe is not in Zetland....
 
Dining out is a cherished pastime for many Australians, but a recent incident has highlighted a potential pitfall that could leave you out of pocket.

A woman who offered to foot the bill first at a group dinner was left short-changed when she discovered a sneaky charge had been added to her bill.

This raised the question: Can restaurants legally do such a thing without explicit customer consent?



Cara, a Queensland resident, recently shared her experience.

After dining out with a large group, she offered to pay the bill, totalling $759, with the understanding that her friends would reimburse her later on.

However, when she received the reimbursements, she soon realised she was almost $76 short.


View attachment 39682
A woman noticed something odd with her bill after a dinner with friends. Image source: Freepik.


Upon reviewing the bill, she discovered the restaurant had added a 'sneaky' 10 per cent gratuity.

Despite the service being less than satisfactory, Cara found herself out of pocket due to this unexpected charge.

She then contacted the restaurant involved about the charge, and she said they pointed out that the gratuity fee was in fine print.

With the service they received unsatisfactory in her opinion, she was left with a burning question: ‘Can restaurants really add this to the bill without our permission?’



According to Alison and Jillian Barrett, Resident Lawyers at law firm Maurice Blackburn, provided that the surcharges are communicated in a clear, transparent, and prominent manner, restaurants can legally add this charge to the bill.

‘There is no need for them to advertise these additional fees on large signs, nor for you to sign an agreement outlining all the charges before ordering,’ they said.

‘It is enough that they are “in the fine print” at the bottom of the menu, or if you’re ordering from an app, that it’s listed on that.’

There is no limit to how much extra a business can charge a customer in additional costs, as long as the terms are explicitly stated and don't come as a surprise to the customer.



The pair then advised diners to revisit the restaurant and re-check their menu if they don't recall seeing a notice about the automatic gratuity.

Some restaurants have their menus available online, and you might be able to review them there.

If you can, take photos of the menu to demonstrate that there was no mention of the fixed gratuity or that it wasn't clearly marked.

If the gratuity isn't clearly displayed, you can request a refund from the restaurant.

If the restaurant refuses to issue a refund, you can lodge a complaint with the Australian Competition and Consumer Commission (ACCC), which has the power to investigate and enforce penalties for excessive, hidden charges.



How to Protect Yourself from Unexpected Charges

To avoid unpleasant surprises, always check the fine print on the menu or ask the staff about any additional charges before ordering.

If you're splitting the bill with friends, make sure everyone is aware of any added gratuities or service charges.

If you're paying by card, review the total amount before entering your PIN.
Key Takeaways

  • It is legal for venues in Australia to impose a gratuity fee, provided they communicate the surcharge in a clear and transparent manner on the menu or app.
  • There is no limit to the amount a business can charge for additional costs as long as the conditions are stated explicitly and are not surprising to the customer.
  • If the gratuity fee was not prominently displayed or communicated to the customer, they can take photographs of the menu, speak with the restaurant, and potentially seek a refund or complain to the ACCC.
Members, have you ever encountered a similar situation? How did you handle it? Share your experiences and tips in the comments below.
It’s not always about a conceptual tip for the servers or the quaint us practice of working for tips only. Any restaurateur will say big groups are harder as they make up more of the restaurant, might need extra front of house, there always be someone who has change of mind plus it actually takes a lot in better places to have 10 entrees and 10 mains served at the same time ( ish) … and if you did it piecemeal you’d get a bad review. So again you might need additional sous or hands in kitchen. Plus half the tables will insist on separate bills - or suddenly turn vegan, or insist of having a different sauce with that cut etc. that’s if everyone actually turns up. so there’s a bit of annoyance charge in it too. This is not meaning to cover extra fine print ….. maybe the restaurant wants to say it’s pretty common for larger bookings in better quality places….. so maybe they think you shouldn’t be surprised. Still,yeah, if you are a big group better to check.
 

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