Braai Block hit with R1m fine

GUILTY: TRIBUNAL SAYS IT RIPPED OFF CONSUMERS

- Ina Opperman

Fee wasn't disclosed upfront, no address shown.

The National Consumer Tribunal has imposed a fine of R1 million on restaurant chain Braai Block for "ripping off consumers" because it charged a service fee that was not disclosed upfront and also did not indicate the address of every restaurant on its receipts.

After receiving a tip-off, the National Consumer Commission (NCC) investigated Braai Block and found that the restaurant chain's sales records or receipts did not reflect the address where it supplied its goods or services, that it charged a service fee which varies from one transaction to another, depending on the price of a consumer's meal, and that the advertised cost of goods on the restaurant's menu did not include applicable fees or charges.

According to the NCC, Braai Block started operating in November 2020 and has 16 restaurants where its products are displayed on a menu.

During the investigation, an employee told the NCC that the service charge was a fee meant to ensure the best service to the consumer.

Braai Block said "it is a transparent general practice to disclose cost structures rather than hide behind an exorbitant price model".