Service Charge
/ˈsɜːrvɪs tʃɑːrdʒ/
Definitions
- (n.) A fee imposed by a service provider, often in hospitality or property management, covering the cost of services rendered.
The hotel added a 10% service charge to the bill.
- (n.) An amount charged by a landlord or managing agent to cover maintenance and ancillary services in leased property.
The lease agreement included a monthly service charge for building upkeep.
Forms
- service charges
Related terms
Commentary
In contract drafting, clearly distinguish service charges from tips or gratuities to avoid legal ambiguity about enforceability and tax treatment.
This glossary is for general informational and educational purposes only. Definitions are jurisdiction-agnostic but reflect terminology and concepts primarily drawn from English and American legal traditions. Nothing herein constitutes legal advice or creates a lawyer-client relationship. Users should consult qualified counsel for advice on specific matters or jurisdictions.