Bill on tipping: Quebec urged to act on “no-shows”

The Association Restauration Québec (ARQ) hopes to convince the government to take advantage of the bill governing tipping to allow restaurateurs to impose $20 penalties on customers who do not honor their reservation, commonly called “no -shows”.

Friday evening, I had 63 customers and I had 6 last minute cancellations, but that’s a good Friday, because generally, it’s between 10 and 20 cancellationssays Jules Dubé, of the Provisions restaurant, located in the Outremont district of Montreal.

I also had to refuse people on Friday, and perhaps these are customers who will not try their luck a second time to come and try the restauranthe adds.

Far from being a new phenomenon, last minute cancellations continue to cause many headaches for restaurateurs, who have no leverage to act.

This is why theARQ will ask Quebec on Tuesday to include amendments to Bill 72 to allow restaurateurs to demand a penalty of up to $20 for customers who cancel their reservation less than 24 hours in advance.

A legislative vehicle to modify the Consumer Protection Act (LPC), there is not one every monthargues Martin Vézina, vice-president of public and government affairs at theARQwho will table his report Tuesday afternoon during consultations on Bill 72.

The $20 penalty does not seek to compensate restaurateurs, but rather to make the consumer responsible, Mr. Vézina explains. We are here to change customer behavior, so that in the medium term, we no longer need to use it.

Remember that article 13 of the LPC prohibits imposing on the consumer, in the event of non-performance of his obligation, the payment of costs, penalties or damages, the amount or percentage of which is fixed in advance in the contract, other than interest ran. Quebec is the only province in the country with this type of regulation, underlines Martin Vézina, who has been making representations to the government for several years: Elsewhere, restaurateurs can do what they want.

Supportive restaurateurs

It’s a good idea, believes Mr. Dubé, of the Provisions restaurant, especially since it’s a commercial practice used in several other trades. At the barber or dentist, no matter the service where you block a time slot of someone’s time, there are fees if you don’t cancel. I don’t see why we restaurants would play by different rules.

The story is the same for the chef of the restaurant Le Mousso, Antonin Mousseau-Rivard, who would like this mechanism to be included in the law, in order to make customers realize the importance of canceling in advance. But according to him, this measure would have little effect on its establishment.

Not all restaurants can have other reservations within 24 hours. People here book weeks or even months in advance for special occasionshe argues.

Increasing since post-pandemic

Previously observed mainly in Montreal, unfulfilled reservations now affect all regions of Quebec, notes theARQ, which brings together 5,300 members. And the phenomenon has even increased since 2022 and after the pandemic.

We use more tools that democratize reservations with software; This may also be what led to the increase in no-shows.says Mr. Vézina.

In Quebec, restaurants lose on average $49,000 per year per establishment, according to theARQ, and this amount would go up to $88,000 for gastronomic institutions.

There are people who make reservations at three or four restaurants every night; it has become a scourge. This represents significant losses with employees on schedule, the challenge of managing fresh products; it’s catastrophic.

Everyone has their own system

Since the law does not allow penalties to be imposed on customers, establishments are finding solutions to get around the problem.

The Arvi restaurant in Quebec has been charging its customers in advance since its opening six years ago, using a reservation platform that offers a ticket for its unique menu.

We don’t have the right by law to do it live, but since it’s an offer, like a ticket, it’s like offering an experience. If people cancel within a reasonable time, we can cancel or move their reservationexplains chef Julien Masia, whose number of unfulfilled reservations per year can now be counted on the fingers of one hand.

Other restaurants impose penalties illegally, confirmsARQwhich has had no customer complaints; sign of a certain “social acceptability of the measure”, believes Martin Vézina.

Moreover, in September 2023, in a survey commissioned by the Association from the firm Léger, 69% of 1009 respondents were in favor of a penalty varying from $5 to $20 per customer. L’ARQ has also made available to its members a reservation contract to allow compensation in the event of cancellation for group reservations or private events.