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Movie Ticket Prices To Be Capped At Rs 200? No, Says Karnataka HC As Theatres Slam ‘Arbitrary’ Rule

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Film producers, Multiplex Association of India and a PVR INOX shareholder challenged the amended rules, arguing that capping prices would hit business

Senior advocate Udaya Holla, representing the MAI, said if customers wished to pay more for luxury cinema experiences, they should have that choice.

Senior advocate Udaya Holla, representing the MAI, said if customers wished to pay more for luxury cinema experiences, they should have that choice.

The Karnataka High Court on Tuesday stayed the state government’s decision to cap the maximum price of movie tickets at Rs 200 after hearing a batch of petitions filed by film producers and theatre owners who argued that the move was arbitrary and would hit business.

The Karnataka government, under the Karnataka Cinemas (Regulation) (Amendment) Rules, 2025, had proposed a uniform ceiling of Rs 200 per ticket, inclusive of taxes, regardless of the film’s language or venue. Explaining the rationale behind its move, the government argued that it was in public interest and referred to a March budget announcement as well as a Supreme Court ruling that upheld a state’s right to regulate ticket prices.

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Calling the decision arbitrary, film producers, Multiplex Association of India (MAI) and a PVR INOX shareholder challenged the amended rules, arguing that capping cinema ticket prices for all theatres, regardless of whether they are multiplexes or not, was unreasonable since multiplexes bear more costs than single-screen film theatres.

According to Bar and Bench, the petitioners also highlighted that the rules selectively cap cinema ticket prices while OTT platforms, satellite TV and other entertainment platforms remain unregulated. The plea pointed to the “arbitrary” exemption of “multi-screen cinemas with premium facilities of 75 seats or less”, noting that no definition was provided of what constitutes “premium facilities”.

Senior advocate Udaya Holla, representing the MAI, said if customers wished to pay more for luxury cinema experiences, they should have that choice. “Film exhibitors should have the freedom to set prices for offering such luxury services,” he added, arguing that the cap had no connection with consumer protection and “instead serves as an unreasonable restriction on business”.

Recounting that a similar state-imposed cap on movie ticket prices from seven years ago was eventually withdrawn after it was challenged in court, Holla asked the court to consider the loss to businesses of theatre owners if the limit was placed on ticket prices.

Senior advocate Dhyan Chinnappa, who was representing production company Hombale Films, argued that the state had no authority to introduce a cap on ticket prices. He noted that in the Kannada film industry, movie producers depend on fair pricing of tickets to recover heavy investments. “Arbitrary caps on movie tickets could affect this and violate the producer’s right to carry on their business,” he said.

The state, meanwhile, argued that its decision was based on public interest considerations and the new rule was made for the benefit of directors, film fraternity, and consumers in line with the principles under Article 38 of the Constitution.

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