Court Orders Compensation and Stoppage of Inflated Delivery Fees for Members

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Court Orders Compensation and Stoppage of Inflated Delivery Fees for Members

Swiggy Fined for Unfair Trade Practices

Swiggy, a popular online food delivery and quick commerce platform, has been fined by a court in Hyderabad for adding a delivery fee despite the customer's membership benefits. The District Consumer Disputes Redressal Commission in Hyderabad's Ranga Reddy ruled against Swiggy for unfair trade practices.

The court found Swiggy guilty of unfair practices by adding a delivery fee of Rs 103 despite the customer's membership benefits, which promised free delivery within a certain distance. The complainant, Emmadi Suresh Babu, alleged that Swiggy inflated the delivery distance from 9.7 km to 14 km, leading to the delivery fee. He submitted Google Maps screenshots as evidence.

As Swiggy did not attend the hearings, the court proceeded without their defense based on Babu's affidavit. The court ordered Swiggy to refund the delivery charge, pay compensation for mental distress and inconvenience, and stop inflating delivery distances for Swiggy One members. Additionally, Swiggy was asked to pay punitive damages to the Consumer Welfare Fund.

This incident highlights the importance of transparency and fair practices in the online food delivery industry. Customers should be aware of their membership benefits and be vigilant about any discrepancies in charges.