...Starting July 1, under SB478, California restaurants will no longer be able to charge service fees — which have become an increasingly common tool to sustain higher wages for workers as food businesses move away from tips — and must instead fold them into menu prices, the attorney general’s office said. The law applies to all fees other than taxes, the attorney general’s office said, including other surcharges restaurants use to offset costs, such as San Francisco’s ordinance requiring businesses to provide health care or credit card processing fees.
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CalChamber | Restaurant Surcharges Will Soon Be Illegal in California
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