How to dispute Zomato deductions and unpaid orders
A short Zomato payout usually has one of two causes: an order you weren't paid for, or a deduction that shouldn't be there. Both can be recovered, but only if you can point to the rule that was broken and the evidence that proves it.
This guide uses Zomato's own published documents: its online-ordering terms for restaurant partners, its Restaurant Partner Compensation Policy and its sponsored listing (ads) terms. Your signed enrolment form sets your rates and can add terms, so read it alongside.
If you haven't yet worked out which lines are wrong, start with our guide to the Zomato settlement report.
Unpaid orders: when Zomato should pay you anyway
Cancelled after you accepted
The Compensation Policy covers orders you accepted that were cancelled or rejected for reasons not attributable to you:
- Zomato delivers, rider picked up the order: compensation equal to a successful order.
- Zomato delivers, not yet picked up, and you marked "Order Ready": 80% of Net Order Value (less reusable items), provided at least 80% of your orders were marked ready accurately the previous week. "Accurate" means the rider picked up within three minutes of the mark, or of arriving if they came after it.
- Not marked ready, or marking not accurate enough: 40% of Net Order Value (less reusable items).
- You deliver yourself: if the customer cancels after 80% of the estimated delivery time, a successful order's value (less reusable items); before that, 40% of Order Value.
There's no compensation if the customer cancels within 60 seconds of ordering, if you hadn't accepted the order, or for your own rejections, wrong orders and food-quality issues (Compensation Policy).
So the "Order Ready" button is money. If you mark ready late or early, you drop from 80% to 40% on every eligible cancellation.
Refunded to the customer
If Zomato refunds a customer because delivery instructions weren't followed or the food was poor (a "Problem Order"), you aren't paid, and an amount already paid can be offset against future payouts (terms, clause 8(ii)). If the order was correct, that's your dispute.
In 2025, Zomato paused a programme that split some customer refund costs 50:50 with selected restaurants, after partner complaints, saying it would relaunch after feedback (MediaNama). If a refund-sharing line appears on your report, ask which programme it comes from and when you agreed to it.
Orders you deliver yourself
If you deliver an online-paid order yourself, get a signed receipt from the customer: Zomato is not required to pay a disputed order without a copy (clause 3(xii)). Keep proof of delivery for 180 days (clause 3(xiii)).
One trap: if you accept a customer's cancellation request through the platform, you aren't eligible for any payment for that order (clause 3(xi)).
Deductions: what to challenge
Service fee and payment mechanism fee
Both rates come from your form. The payment mechanism fee is a percentage of Order Value including taxes (clause 1), so don't recompute it on the pre-GST amount. Zomato must give seven days' intimation before changing fees or adding charges (clause 10). A new charge with no notice is worth disputing.
"Any other amount"
Beyond the service fee, payment mechanism fee and tax, Zomato may deduct other amounts due under your form, or for other services "to which specific consent of the Restaurant Partner is accorded" (clause 9(i)(d)). Ask for the consent record behind any unfamiliar line. One exception: Zomato can also set off amounts you owe other Zomato group companies (clause 9(iii)).
Support and refund charges
Zomato may charge for extra support it gave, or refunds it issued, for reasons attributable to you (late acceptance or handover, quality, missing items, packaging), "as may be communicated" in periodic reports (clause 10). Match each to an order and check the cause with your kitchen timestamps.
Long-distance fee
In 2025 Zomato introduced a long-distance fee on deliveries beyond 4 km. MediaNama, confirming a Moneycontrol report, put it at ₹20 per order for 4 to 6 km and ₹40 above 6 km, with conditions on order value (MediaNama). Check the charge on each order against the notice you received and the delivery distance.
Promotions you didn't approve
Zomato's promotion terms say you determine promotions "at its sole discretion", fund their cost, set their validity, and may opt out at any time without notice (clause 3(xliii)). For Zomato Gold, the discount is what you agreed in writing (clause 3(xl)). A discount you never set up conflicts with those terms. Restaurants have alleged exactly that (The News Minute), while Zomato told MediaNama in 2025 that partners give explicit consent, registered through multi-factor authentication, before changes go live (MediaNama). Ask Zomato to produce that consent record.
Ad overspend
For visit-pack ads, you aren't charged for visits beyond the "Deliverables" in your Service Request Form (ads terms, clause 3(a)). Note that a "Visit" includes a user opening your page within 24 hours of last seeing your ad, not just a click. Zomato isn't obliged to refund fees unless your form says so, and unused advance fees are refunded or usable for other services (clauses 3(g), 4(d)). So the strongest ad dispute is billed visits above the agreed number, or spend after the end date.
The evidence pack
- Your enrolment form, any addenda, and fee-change emails.
- The weekly settlement report and monthly invoice.
- POS records: order ID, accept time, "Order Ready" time, handover time.
- For self-delivery: signed receipts and proof of delivery.
- Screenshots of promotion and ad settings, with dates.
- Your working: expected amount, actual amount, difference.
Where to raise it
- The Zomato Restaurant Partner app. Zomato's terms point partners to the help centre in the app for promotion queries (clause 3(xliii)(t)), and Zomato has said partners can raise concerns through the app and centralised helplines (MediaNama). Menu names change, so we won't give a click path.
- Your account manager. The terms name the account manager, or priority@zomato.com, for reporting problems that stop you meeting your obligations (clause 16).
- Formal dispute. The parties must first try to resolve a dispute amicably within 15 days of it being notified; after that it can go to the courts of New Delhi (clause 19(i)). Put the claim in writing so that date is clear.
Timelines
| Item | What Zomato's documents say |
|---|---|
| Weekly settlement | Mon–Sun orders paid on or before the following Thursday (clause 9(ii)) |
| Monthly invoice | Within 7 days of month-end (clause 7(ii)) |
| Fee changes | 7 days' prior intimation (clause 10) |
| TDS certificate discrepancy | Within 15 days of receiving the certificate; nothing after 31 July of the following year (clause 11) |
| Amicable resolution of a notified dispute | 15 days, then courts (clause 19(i)) |
| Deadline to raise an order or deduction dispute | Not stated in the public terms. It may vary by contract; check your form and the Partner app |
Raise issues the week you find them: recent orders are easier for everyone to check.
A sample claim (sample figures only)
Restaurant ID [your ID], week 5–11 Oct 2026. Three orders were cancelled after we marked "Order Ready" and were paid at 40% instead of 80% of Net Order Value. Our marking accuracy for the previous week was 86% (report attached). Under the Compensation Policy, the shortfall is ₹412 (sample figure). Order IDs, ready times and rider arrival times are attached.
One issue, one number, the rule it relies on, and the proof.
FAQ
Zomato cancelled an order after the rider picked it up. Am I owed? If the cancellation wasn't attributable to you, the Compensation Policy says you get the equivalent of a successful order.
Why was I paid only 40% on a cancelled order? Usually because the order wasn't marked "Order Ready", or fewer than 80% of last week's orders were marked accurately.
How do I book a disputed amount? Book what was deducted, track the claim separately, and record any refund when it arrives. See Swiggy and Zomato entries in Tally Prime.
Catch these every week, not every quarter
OnPlusOne is an early-stage Bengaluru startup building an AI agent that reconciles POS, Swiggy, Zomato and bank daily, spots unpaid orders and off-contract deductions, and drafts the claim for your approval. It is a working prototype, piloting in Bengaluru. See it in the live demo, or read about restaurant reconciliation and Swiggy and Zomato reconciliation. Disputing on Swiggy too? See how to dispute a Swiggy deduction.
This article is general information, not legal advice. Platform terms change; check your own contract.
Sources
- https://www.zomato.com/policies/online-ordering/
- https://www.zomato.com/o2termscompensationpolicy/india
- https://www.zomato.com/policies/ads/visit-pack-policy
- https://www.medianama.com/2025/05/223-zomato-pauses-refund-sharing-policy/
- https://www.medianama.com/2025/07/223-zomato-long-distance-delivery-fee-restaurants/
- https://www.medianama.com/2025/06/223-zomato-opaque-ad-model-small-restaurants-unsustainable-spending/
- https://www.thenewsminute.com/karnataka/when-discounts-cost-dearly-why-bengaluru-restaurants-are-upset-with-swiggy-zomato