The Karnataka High Court on Tuesday, September 23, stayed the State government’s recent decision to cap movie ticket prices at Rs 200, following petitions from multiplex owners and film producers challenging the move.
Justice Ravi V Hosmani passed the interim order on the petitions, which contend that the Karnataka Cinemas (Regulation) (Amendment) Rules, 2025, imposing a uniform ticket price ceiling, are arbitrary and unfair. The amendment applies to all cinema halls, including multiplexes.
The petitions were filed jointly by film producers Hombale Films, the Multiplex Association of India (MAI) and a shareholder of PVR INOX. The petitioners argued that applying the cap uniformly to single-screen theatres and multiplexes ignored the higher costs and investments associated with multiplex operations.
The petitioners also highlighted that OTT platforms, satellite TV and other entertainment media remain unregulated, while the new rules selectively cap cinema ticket prices. Additionally, the rules exempt “multi-screen cinemas with premium facilities of 75 seats or less” without defining “premium facilities.” They argued this violated theatre owners’ fundamental right to conduct business under Article 19(1)(g) of the Constitution.
"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.
During the hearing, Senior Advocate Mukul Rohatgi, representing the Multiplex Association, argued that the State’s amendment is arbitrary. “The price of the ticket is fixed at Rs 200. What is the basis for this? If a customer wants to pay more for luxury, there is no reasoning for a broad-brush limit,” he said. He recalled a similar government order in 2017, which was eventually withdrawn after legal challenges.
Rohatgi stressed that multiplexes have made significant investments to provide luxury experiences. “There can’t be a direction that all your tickets should be Rs 200. Or all airlines should offer only economy class. There is no power under the Act to fix a price whatsoever,” he submitted.
Senior Counsel D R Ravishankar, representing a theatre petitioner, highlighted that ticket pricing is a private contract between exhibitors and moviegoers. He stressed that any regulation must be traceable to a legislative mandate; otherwise, it infringes cinema owners’ rights under Article 19(1)(g) of the Constitution. “If such a regulation is undertaken, it should be based on proper data or study. Otherwise, it threatens multiple businesses and the economy,” he said.
Senior Advocate Dhyan Chinnappa, representing Hombale Films, argued that the parent Karnataka Cinemas rules only deal with licensing and construction of cinema halls, not pricing. He said ticket pricing should be a matter between exhibitors and customers and that arbitrary caps could adversely affect producers’ ability to recover investments in films.
The State, however, defended its order, stating it was introduced in the public interest and under powers granted by the Karnataka Cinema Act. The government also contended that the cap benefits directors, the film fraternity and consumers under Article 38 of the Constitution.
Meanwhile, the Karnataka Film Chamber of Commerce (KFCC), represented by Senior Advocate V Lakshminarayana, sought to intervene to assist the court. The court, however, noted that the matter was not a PIL and directed the KFCC to substantiate its locus.