Swiggy and Themis Barbeque House ordered to pay ₹1 lakh after a Delhi consumer panel found misleading buffet pricing and an undisclosed service charge.
A Delhi consumer commission has held Swiggy and Themis Barbeque House responsible for displaying misleading buffet price information on the food delivery platform. The commission has directed both parties to jointly pay ₹1 lakh as compensation to a customer for mental agony, harassment, inconvenience and litigation expenses.
The order was passed by the District Consumer Disputes Redressal Commission (North District), Delhi, in a complaint filed by advocate Praveen Kumar Singh. The bench, headed by president Divya Jyoti Jaipuriar, also ordered the restaurant to refund ₹3,988 towards the excess amount charged and ₹254 towards a service charge, along with 9% annual interest on both amounts.
How the Swiggy Dineout Price Became a Dispute
According to the complaint, Singh had booked a table at Themis Barbeque House through the Dineout section of the Swiggy app for April 7, 2024. The platform showed the restaurant’s “cost for two” as ₹1,500, which indicated an approximate rate of ₹750 per person.
However, the restaurant charged ₹1,050 per person for its vegetarian buffet and ₹1,100 for the non-vegetarian buffet. This meant customers paid ₹300 and ₹350 more per person than the amount indicated by the listing. The commission observed that the difference of around 40–47% was significant.
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Commission Rejects Intermediary Argument
During the proceedings, Swiggy argued that it functioned only as an intermediary and relied on the protection available under Section 79 of the Information Technology Act.
The commission did not accept this argument. It observed that intermediary protection is subject to compliance with due-diligence requirements and said the platform had not demonstrated a mechanism to reconcile the displayed “cost for two” amount with the actual prices charged by the restaurant.
The commission also noted that the Dineout listing did not clearly state that the ₹1,500 figure was only an estimate. Since the platform had access to accurate pricing information, the continued display of the lower figure was treated as a deficiency in service and an unfair trade practice.
Restaurant Also Held Responsible
The commission said responsibility lay with both the restaurant and Swiggy. While the restaurant was responsible for the service and price information it provided, the platform was responsible for the information displayed to consumers through its Dineout service.
The commission also examined a 10% service charge imposed on beverages. It found that the restaurant’s menu did not properly disclose the charge and that the bill described it as “Service Charge” rather than “Staff Contribution”, as required under the directions applicable at the time.
₹1 Lakh Compensation Ordered
In its final directions, the commission ordered Themis Barbeque House to refund ₹3,988 for the excess buffet amount, with 9% annual interest from April 7, 2024. It also ordered a ₹254 refund for the service charge, again with 9% annual interest.
Additionally, Swiggy and the restaurant were directed to jointly and severally pay ₹1 lakh to the complainant as compensation for mental agony, harassment, inconvenience and litigation costs.
The awarded amounts have to be paid within four weeks of receiving the order. If the parties fail to comply within that period, the commission directed that 12% annual interest would apply to the entire awarded amount after the deadline expires.
What the Order Means for Online Food Listings
The case highlights the importance of accurate pricing information on food and dining platforms. The commission’s findings indicate that where a platform displays a price to consumers, disclaimers and mechanisms for ensuring that the displayed amount corresponds with actual billing can become significant in consumer disputes.
For customers, the case also underlines the importance of checking the detailed menu and final pricing before dining, particularly when booking through online platforms.
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