Katz’s Delicatessen is a Jewish deli on the Lower East Side of New York City. Since its founding in 1888, it has been popular among locals and tourists alike for its pastrami on rye, which is consider New York’s best. There is, however, an unusual policy at Katz’s that you won’t find anywhere else in the city. As each customer enters the deli, a door attendant hands them a printed, numbered ticket. As they receive their food from various stations throughout the deli — separate for sandwiches, drinks, etc. — employees compute a running total of the pre-tax bill. If a customer happens to lose their ticket, an additional $50 surcharge is added to their bill. Recently, a couple visiting the deli lost their ticket and were faced with the $50 penalty, which they promptly refused to pay. The story ignited a small war on social media, so the deli’s management was asked to explain why the policy exists. It’s simple: “We need it because if someone finds that lost ticket, they have any easy way of making purchases that they’re not really entitled to, without paying. There’s another twist to the tale — the NYC Consumer Protection Law says “Restaurants are prohibited from adding a surcharge to the cost of items listed on the menu.” Where does that leave Katz’s? It’s unlikely the Department of Consumer Protection is going to crack down on one of its top restaurants.
