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Zomato Limited reported that the District Consumer Dispute Redressal Forum (II) Jodhpur has imposed a monetary penalty of ₹1 lakh on the company for a violation under the Consumer Protection Act, 2019. consumer forum’s order was related to a complaint about incorrect food delivery where non-vegetarian items were allegedly delivered instead of vegetarian items.
Additionally, the District Commission has awarded ₹5,000 as the cost of litigation. Both Zomato and McDonald’s are jointly and severally responsible for bearing these costs.
Also read: Zomato tests platform fee on food orders
Zomato is currently in the process of appealing this order and believes it has a strong case on merit, as it asserts that its role is that of a facilitator in food sales, with restaurant partners bearing responsibility for service quality and order accuracy, per a statement by the company.
The shares were up by 1 per cent to ₹110.90 at 1.38 pm on the BSE.
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