ORLANDO, Fla. — Florida restaurants must now clearly disclose any mandatory service charges before customers place an order under Senate Bill 606, a new law aimed at giving diners more transparency about the fees that appear on their bills.

The law took effect July 1.

The legislation resulted from a compromise after lawmakers considered a much tougher proposal that could have restricted or even eliminated restaurant service charges altogether.

Restaurant industry leaders argued the fees help businesses cover rising costs and employee compensation without dramatically increasing menu prices.

For 14 years, Latin Square Cuisine in downtown Orlando has built a loyal customer base by keeping things simple.

Owner Enrique Vuolo says he enjoys serving customers and has never added mandatory service charges to their bills.

“Because I love how customers love my food,” he said.

Instead, Vuolo lets customers decide whether they want to leave a tip.

“If they want to do some tips, they put some tips. If they don’t want you, that’s OK. And they say no.”

Restaurants across Florida have increasingly added fees with names such as “kitchen appreciation,” “wellness,” and “operations service charge.”

Under Senate Bill 606, restaurants must now disclose those charges before customers order, including on menus, written contracts, websites and ordering apps.

Vuolo believes many restaurants have added the fees because of inflation, but said customers should never be surprised when the bill arrives.

“You know, if they don’t like the way that you serve the food, so you have to pay doesn’t matter 20% for the tip?” he said.

During the legislative process of 2025, lawmakers considered eliminating restaurant service charges altogether.

However, the industry pushed back, saying the fees help restaurants absorb higher operating costs.

Bill sponsor Sen. Tom Leek said in a statement, “Those who visit Florida’s dining establishments deserve the ability to see what they are paying for.”

State Rep. Chad Johnson, the bill’s House co-sponsor, said he heard concerns directly from major hospitality companies as lawmakers debated the proposal.

“I had Disney, I had Marriott, Hilton hotels, all of them were deeply concerned about us regulating what they could and couldn’t do with the service fee,” he said. “And I wholeheartedly understand their position.”

Customers say they don’t necessarily oppose service charges — as long as restaurants are upfront about them.

One customer, Jayson Angelet, picking up food at Latin Square Cuisine, said eateries must display service charges or else.

“If there’s no notification and there’s nothing, then yeah, it comes a bit of a shock,” Angelet said. “I think you should be able to decline it, I think. But if they’re upfront about it and they, you know, hey, this is already included, then you, it’s your choice to eat there.”

The new law does not prohibit restaurants from adding mandatory service charges.

Instead, it requires those fees to be clearly disclosed before customers decide whether to dine there.