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On 18 September 2017, Facebook user Mike Abreu posted what he presented as a photograph of a restaurant check receipt from his recent visit to a Cheesecake Factory outlet in Valencia, California, that appeared to offer some misleading and exaggerated tip amount suggestions: The credit card receipt is authentic. Abreu (who goes by Frank) brandished an identical-looking slip during an interview with Los Angeles television station KCAL, along with an itemized receipt showing the same total cost ($33.76 including sales tax) but accurate tip suggestions (20% of the bill as $6.75, for example). Thedate and server's name on that receipt were both the same as the credit card slip featured in Abreu's Facebook post. A spokesperson for the Cheesecake Factory told us that the discrepancy was caused by an error resulting from a staff member's mistakenly processing the Abreus' order along with someone else's, yielding a larger total that was then used as the basis for the tip suggestions presented in each check: It would appear that the staff member corrected the error in the itemized receipt, leaving accurate tip suggestions there, but processed the credit card payment as if it were part of the erroneous split bill, creating the inaccurate tip suggestions there. (If the combined cost of the two bills were $73.55, for example, then $14.71 would have been an accurate suggested amount for a 20% tip.) The practice of presenting tip suggestions based a whole table's order, in each separate receipt after a bill is split, is controversial. The Cheesecake Factory is currently being sued in Los Angeles Superior Court for allegedly presenting tip suggestions misleadingly based on percentages of a whole table's bill, in instances where diners split checks: The case has the potential to become a class action lawsuit. An initial status conference is scheduled for 18 October 2017.
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