The District of Columbia Attorney General, Brian L. Schwalb, issued a Supplemental Business Advisory on August 9th regarding the obligations of restaurants to disclose service fees and charges to their customers correctly. This advisory was delivered following the Office of the Attorney General’s (OAG) consumer alert in March 2023, focusing on unlawful restaurant fees, as reported by JD Supra.
Restaurant fee disclosures have increasingly become a focal point for the legal profession due to growing consumer interest and movements toward greater transparency in service pricing. It is the responsibility of these eateries to communicate clearly to patrons any additional charges before they dine, not only on moral and ethical grounds but also as a legal requirement, as emphasized by the recently issued supplementation advisory.
This development affirms the OAG’s commitment to protect consumers in the District of Columbia against potentially deceptive business practices. The fresh guidelines help in reinforcing the existing advisory by providing extended explanation on acceptable practices related to restaurant fee disclosures, particularly aiming at establishing a firm regulatory system with transparent rules and obligations.
Legal professionals involved in hospitality law, consumer rights, and transparency advocacy are urged to review the updated guidelines to ensure their clients’ practices align with the newly defined clarifications. In addition, restaurants and eateries should consider consulting legal counsel to ensure they comply with this guidance, ultimately promoting honest and transparent business practices.