Automatic tip or service charge? New state law requires restaurants to tell diners before they order

People dining out in Florida should see fewer surprises when their check arrives beginning July 1.A new state law requires restaurants to clearly disclose mandatory fees and service charges before customers even place their orders.The updated law expands existing requirements beyond automatic tips to cover a broader category of an "operations charge" — including service charges, credit card surcharges, delivery fees and other mandatory charges added to a customer's bill, excluding taxes.Restaurant that impose those charges must disclose the amount or percentage of the fee and explain its purpose on menus, websites, mobile ordering platforms and, when applicable, written contracts.
The information also must appear on customers' bills, according to details of the law. CUSTOMERS HIT WITH AUTOMATIC 20% GRATUITIES AS RESTAURANTS COMBAT TIPPING CONFUSIONThe change is meant to give diners a clearer understanding of what they'll pay ahead of time."Restaurants today are navigating rising costs and evolving customer expectations, particularly around tipping and service charges," Ashley Chambers, communications director at the Florida Restaurant & Lodging Association, told Fox News Digital.A new Florida law takes effect July 1, 2026, requiring restaurants to notify customers of any service charges or automatic gratuities in advance.(iStock)"We support increasing transparency around restaurant charges, and we believe it can enhance trust and understanding between restaurants and their guests — provided it is implemented in a way that is clear for consumers and practical for operators."Eric Douglas, a partner with BOL Hospitality Group, which operates several South Florida restaurants, said transparency benefits both restaurants and diners."Anything that's good for the customer is good for us," Douglas said.
"We're in the customer service business at the end of the day.We want to make sure there's transparency with any charges that we might have."AMERICANS ARE FED UP...