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Swiggy Fined Rs 35,000 For ‘Going The Extra Mile’ In Delivery Charges

However, on November 1, 2023, he was charged an extra delivery fee for an order that seemed out of place. The complaint stemmed from Babu noticing that the delivery distance had been inflated.

Swiggy Fined Rs 35,000 For ‘Going The Extra Mile’ In Delivery Charges

Babu, a Swiggy One member, had expected his delivery to be free within a certain radius as part of his membership benefits. However, on November 1, 2023, he was charged an extra delivery fee for an order that seemed out of place. The complaint stemmed from Babu noticing that the delivery distance had been inflated.

According to Babu, Swiggy charged him Rs 103 for the delivery, even though the actual distance from the restaurant to his home was only 9.7 km. Swiggy reportedly claimed the distance to be 14 km. To support his case, Babu presented Google Maps screenshots that clearly showed the actual distance.

The Court’s Verdict: What Swiggy Owes

After reviewing the evidence, including Babu’s screenshots and the lack of response from Swiggy (who was absent during the hearings), the court ruled in favor of the consumer. Here’s what Swiggy is required to do:

  • Refund Babu: The company must refund the Rs 350.48 Babu originally paid for the order, along with 9% interest from the filing date.
  • Return the Delivery Fee: Swiggy must return the Rs 103 delivery charge.
  • Compensation for Distress: To compensate for the inconvenience and mental distress caused, Swiggy has been ordered to pay Rs 5,000 to Babu.
  • Cover Legal Costs: Swiggy must also reimburse Babu for Rs 5,000 in litigation costs.
  • Punitive Damages: To discourage similar practices in the future, the court has fined Swiggy Rs 25,000, which must be deposited into the Consumer Welfare Fund of the Ranga Reddy District Commission.
  • End Distance Inflation: Swiggy has been instructed to stop inflating delivery distances, especially for Swiggy One members.

Why This Ruling Matters

This case highlights a growing concern among consumers about transparency in online services. With food delivery platforms becoming an integral part of daily life, it’s crucial for consumers to know that they won’t be charged unfairly.

Swiggy’s failure to attend the hearings and the court’s decision to rule ex parte (without their defense) sends a strong message about the importance of consumer protection. Not only did Babu win the case, but the court’s decision also sets a precedent for how similar issues could be handled in the future.

What Consumers Should Take Away

  • Check Your Delivery Fees: If you’re a Swiggy One member or using other membership-based delivery services, make sure to double-check the distances and charges listed for your order. If something doesn’t add up, don’t hesitate to challenge it.
  • Stay Informed About Your Rights: The case is a reminder that consumers have the right to fair treatment, and there are avenues like consumer courts where you can fight unfair practices.
  • Inflated Fees Aren’t Acceptable: The ruling against Swiggy reinforces that businesses cannot engage in unfair trade practices to exploit consumers.

What’s Next for Swiggy?

Swiggy now has 45 days to comply with the court’s orders. It remains to be seen how the company will respond, but it’s clear that this ruling may prompt food delivery services to reconsider their delivery fee structures, especially for members.

In the meantime, this case serves as a cautionary tale for consumers to remain vigilant when using online services—and a reminder that standing up for your rights can lead to real change.If you’ve experienced similar issues with delivery charges, it might be time to check your past bills and, if necessary, take action to ensure you’re not overpaying for services.

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