I see this all the time in all sorts of restaurants. (The sorts that I go to, anyway.) I'm from Boston, and there you can't say "homemade" unless it was made in, well, a home. (And then you have to have your home certified and licensed for commercial food production.) Otherwise, you say "handmade" or "made on premises." But at my favorite deli here, I saw them bringing out big white buckets of "homemade" soup to dump into the steam table's drum.
So does "homemade" just mean that it was made on the premises? How far can it be stretched -- can bakeries claim homemade goods if they buy frozen items and bake them on the premises? Is there any point in trusting it at all as an indicator of quality?