The Karnataka High Court grants interim relief to multiplex owners, staying the State’s Rs. 200 movie ticket price cap, protecting cinema business interests and ensuring fair pricing options for audiences.
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BENGALURU: The Karnataka High Court on Tuesday stayed the State government’s recent decision to impose a maximum cap of ₹200 on movie ticket prices across cinema theatres, including multiplexes. The interim order was passed by Justice Ravi V Hosmani in response to petitions filed by multiplex owners, film producers, and shareholders challenging the new regulation.
Background of the Case
The case revolves around the Karnataka Cinemas (Regulation) (Amendment) Rules, 2025, which introduced a blanket cap on cinema ticket prices. The amendment mandated that no cinema hall, be it a single screen or multiplex, could charge more than ₹200 per ticket. However, certain exemptions were made for “multi-screen cinemas with premium facilities of 75 seats or less,” a term that remains undefined.
Arguments
Petitioner:
The petitioners, including the Multiplex Association of India (MAI), Hombale Films, and Keystone Entertainments, contended that the amendment was unreasonable and arbitrary. Represented by Senior Advocate Udaya Holla, MAI argued that:
- Multiplexes incur significantly higher costs compared to single-screen theatres.
- Customers who opt for luxury cinema experiences such as IMAX or 4DX should have the freedom to pay for premium services.
- The cap amounts to an unreasonable restriction on the fundamental right to carry on business under Article 19(1)(g) of the Constitution.
Further, Senior Advocate Dhyan Chinnappa, appearing for Hombale Films, emphasized that:
- The parent rules dealt only with licensing and construction of theatres, not ticket pricing.
- Producers depend on fair ticket pricing to recover heavy investments.
- Arbitrary caps could impact the growth and sustainability of the Kannada film industry.
The petitioners also pointed out the inconsistency in regulating only cinema theatres while leaving OTT platforms and satellite TV unregulated.
State:
The State government defended its move by citing public interest considerations. According to the State’s counsel:
- The government holds the power to impose such restrictions under the Karnataka Cinema Act and constitutional provisions.
- The measure was introduced to benefit consumers, directors, and the broader film fraternity in line with Article 38 of the Constitution, which directs the State to secure social welfare.
Additionally, the Karnataka Film Chamber of Commerce (KFCC) expressed its intention to intervene, opposing any interim relief to the petitioners.
This is not the first time Karnataka has seen such a cap. A similar attempt to regulate ticket prices was withdrawn around seven years ago after legal challenges. Industry stakeholders fear that such restrictions could again hamper business viability, especially when multiplexes have made heavy investments in advanced technologies, infrastructure, and premium audience experiences.
Case Title:
Multiplex Association of India and anr v. State of Karnataka, and connected matters
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