Karnataka HC stays ₹200 cap on movie tickets, calls for wider hearing
The petitioners, including the Multiplex Association of India (MAI) and production houses such as Hombale Films, argued that the blanket cap was “manifestly arbitrary” since it applied equally to multiplexes and single-screen theatres, despite their cost structures being vastly different.
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The Karnataka High Court on Tuesday stayed the State government’s controversial move to cap cinema ticket prices at ₹200 across all theatres, including multiplexes. Justice Ravi V Hosmani passed the interim order while hearing petitions filed by multiplex owners, film producers, and a shareholder of PVR INOX, who challenged the Karnataka Cinemas (Regulation) (Amendment) Rules, 2025.
The rules, notified recently, sought to fix the maximum price of movie tickets at ₹200. The petitioners, including the Multiplex Association of India (MAI) and production houses such as Hombale Films, argued that the blanket cap was “manifestly arbitrary” since it applied equally to multiplexes and single-screen theatres, despite their cost structures being vastly different.
“The blanket application of the cap across single screens and multiplexes, irrespective of cost variations, investment, technology, location, or format (IMAX, 4DX, etc.), renders the impugned rules manifestly arbitrary,” the plea stated.
Senior Advocate Udaya Holla, representing MAI, contended that customers should be free to pay more for premium experiences and that exhibitors must be allowed to set their own prices. He pointed out that a similar cap introduced seven years ago was later withdrawn after legal challenges.
Hombale Films’ counsel, Senior Advocate Dhyan Chinnappa, argued that the parent law under which the amendment was introduced only dealt with licensing and construction of cinema halls, not pricing. “The State has no authority to regulate ticket prices. This is a matter between exhibitors and consumers,” he said, adding that arbitrary caps could severely affect producers’ ability to recover investments.
The petitioners also highlighted inconsistencies in the rules, such as exemptions for “multi-screen cinemas with premium facilities of 75 seats or less” without defining what constitutes “premium facilities.” They further noted that while cinema ticket pricing was being controlled, OTT platforms and satellite television faced no such restrictions.
The State government, represented by Additional Advocate General Ismail Zabiulla and Additional Government Advocate Bhojegouda T Koller, defended the cap as a pro-consumer measure introduced under the Karnataka Cinema Act. The counsel argued that the decision was taken in public interest, for the benefit of filmmakers, the larger film fraternity, and audiences, citing constitutional principles under Article 38.
