Code of the District of Columbia

§ 28:2A–222. Food or beverage service charge exclusion.

(a) Absent any language to the contrary in a lease for a commercial tenancy, service charges shall not constitute sales for the purposes of calculating percentage or other rent for the property leased. If there is any ambiguity in the lease language concerning the inclusion of service charges in calculating rent payable for commercial property leased, there shall be a presumption that service fees are not to be included in the calculation.

(b) For purposes of this section, the term "service charge" means any mandatory fee paid as a percentage of the total cost of the food or beverages if the food or beverages are served to fewer than 11 persons and the fee is used to pay base wages or tips of the employees of the vendor.