The great restaurant child seating debate and what Nat Barr had to say about it

When you take the grandkids out for a family meal, the last thing you expect is a sign telling them they must remain seated 'at all times.'

Yet this is exactly what's sparking heated discussions across Australia's dining scene, with everyone from TV personalities to local mayors weighing in on what seems like a simple safety measure.

The controversy began when a Port Stephens restaurant, Laguna Blu Bar & Dining, found itself in the national spotlight after a mother shared their child seating sign on social media. The sign's wording—requiring children to 'remain seated at all times' - divided viewers and even caught the attention of Sunrise's Nat Barr during Thursday's Hot Topics discussion.

What's really behind these policies

As a hospitality business owner you want to create a safe and welcoming environment for your customers, but unexpected accidents and incidents can happen. This reality drives much more than polite requests—it shapes genuine business concerns about liability and safety.

In fact, the more employees you have, the higher the chance for things to go wrong, increasing the potential for someone to cause an accident such as bodily injury to a customer or a member of the public or damage to their property.

For restaurants, this translates into real financial risks when children are running around wait staff carrying hot food and drinks.

The insurance implications are significant. They pay approximately $59 per month for their Public Liability policy according to our data for hospitality and restaurant owners. Customers are paying approximately $65 per month for a Public Liability insurance policy with a coverage level of $10 million.

The insurance reality restaurants face

Public Liability insurance is designed to provide protection for you and your restaurant in the event a customer, supplier or a member of the public is injured or sustains property damage as a result of your negligent business activities. This coverage becomes crucial when children are involved in accidents.

Public liability insurance covers injuries or property damage to third parties that happen as a result of your business. Let's say you accidentally spill a piping-hot long black on a customer and it causes a serious burn and some medical costs. Now imagine that customer is a child who darted unexpectedly into a server's path.

What the law actually says

Interestingly, while restaurants have broad discretion in setting policies, there are limits. In Victoria, food service providers generally have discretion over menu offerings and portion sizes. There is no specific law requiring restaurants to sell child-sized meals to adults.

Businesses may set policies based on health, safety, or commercial reasons. Consumers seeking smaller portions can request custom orders, but acceptance is at the restaurant's discretion.

This principle extends to behaviour policies, but restaurants must ensure their requirements are reasonable and don't discriminate unfairly.

The safety perspective that matters

Nat Barr hit on something important during her Sunrise discussion: 'It feels like they have had some incidents (of kids running under waiters' feet). If you are the waiters and you have kids around your feet and (you're) carrying hot or heavy stuff or glasses, you might support the sign.'

The Laguna Blu owners explained their specific circumstances: their venue is 'located within a resort and surrounded by an infinity pool, the outdoor flooring can occasionally become slippery' and they 'serve hot dishes, such as meals in cast iron skillets and beverages including wine and cocktails.'

Perth Lord Mayor Basil Zempilas offered a balanced view: 'Kids need to be under control to a degree when they are at restaurants and formal settings, but also the restaurant owners need to understand there is a certain tolerance that needs to be made.'

Sunshine Coast Mayor Rosanna Natoli zeroed in on the problematic wording: 'I think it is the fact 'at all times'. We cannot do that at all times. Kids need to move around to go to the bathroom or whatever.'

Industry pressures driving policy changes

We surveyed over 500 hospitality owners and more than 1,000 diners across Australia to understand current dining trends, customer expectations, the financial shifts in Australia, restaurant technology and what to watch out for in 2024.

If we approach this holistically, the average Australian goes out to eat or drink at a hospitality venue 61 times a year, which averages out to around five times a month or at least once a week.

With such frequent dining, incidents are bound to occur. Few would disagree that 2024 has been a year of challenges in the restaurant industry, with a range of issues impacting operations and profitability. This pressure makes restaurant owners increasingly risk-averse.

Restaurants and other small businesses in the hospitality industry are particularly vulnerable to economic and geopolitical instability. When margins are tight, a single expensive insurance claim or lawsuit can be devastating.

Finding the middle ground

The solution likely lies in clearer, more reasonable language. Instead of 'at all times,' restaurants might say 'please ensure children remain supervised and seated when not moving to necessary areas like the bathroom.' This acknowledges safety needs while recognising practical realities.

For senior diners taking grandchildren out, it's worth having a conversation about expectations before ordering. Ask about high chairs, kids' menus, and any specific safety concerns for the venue. Most restaurant staff appreciate proactive grandparents who help set boundaries.

We're still patronising our local restaurants, bars and cafes on a regular basis with familiar rhythms. Lightspeed has surveyed over 1000 hospitality operators and more than 2,000 consumers to show you which dining trends are on the rise in Australia in 2025. Family dining remains important to both restaurants and customers.

The bigger picture for hospitality

Statistics collected of leading issues experienced by customers at restaurants and cafes over the 12 months to June 2023 illustrate the diner behaviour that will leave venues with reputation damage.

As of March 2023, food and drink services industry data collected by diner type highlights a segment which, if wooed can make a vendor's year in publicity, but can conversely break a good reputation for minor indiscretions or misunderstandings.

This creates a delicate balance for restaurants—they need to protect themselves legally and financially while maintaining a welcoming atmosphere for families. The Laguna Blu controversy shows how quickly social media can amplify these tensions.

Having the appropriate insurance coverage is essential for hospitality businesses in Australia as it protects against financial risks, safeguards assets, ensures compliance with legal requirements, and provides peace of mind to business owners. It allows them to focus on delivering excellent service to customers without worrying about the potential financial impact of unforeseen events.

Moving forward together

Rather than seeing this as an us-versus-them situation, perhaps we can view it as different parties trying to achieve the same goal: enjoyable, safe dining experiences for everyone. Restaurant owners aren't trying to be difficult—they're trying to stay in business while serving families safely.

For senior diners, understanding these pressures can help navigate family dining more smoothly. When restaurants explain their policies clearly and reasonably, and when diners appreciate the genuine safety concerns behind them, everyone benefits.

The Laguna Blu owners concluded their statement by emphasising: 'We want to make it clear that Laguna Blu is a welcoming space for everyone. Our goal has always been to provide a safe, relaxed, and enjoyable experience for all our guests.'

You can watch Nat Barr's comments here.