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The Karnataka High Court has stayed the State government’s recent decision to cap the maximum price chargeable for movie tickets at ₹200. Justice Ravi V Hosmani granted interim relief after petitions by multiplex owners and film producers challenged the validity of the Karnataka Cinemas (Regulation) (Amendment) Rules, 2025, which imposed the ₹200 cap on all cinema theatres, including multiplexes.

Petitioners—including the Multiplex Association of India (MAI), individual producers, and exhibitors—argued that the blanket cap was arbitrary, unreasonably lumping multiplexes with single-screen theatres despite their higher operational and technological costs. They contended that capping ticket prices disregards significant variations in costs, investment, technology, location, and cinema formats (such as IMAX or 4DX), thus violating the owners’ constitutional right to conduct business under Article 19(1)(g).

Further, the petitioners pointed out inconsistencies in the amended rules, such as the selective exemption of multi-screen cinemas with “premium facilities” of 75 seats or less, but without a clear definition for “premium facilities.” They also noted that other entertainment platforms like OTT and satellite TV—major industry competitors—are left unregulated by similar pricing restrictions.

During the arguments, Senior Advocate Udaya Holla, appearing for MAI, asserted that the ₹200 cap was not only arbitrary, but also an unreasonable restriction with no valid link to consumer protection. Senior Advocate Dhyan Chinnappa, for Hombale Films, emphasized that producers rely on fair ticket pricing to recoup heavy investments, and claimed the State lacks authority under the parent rules to regulate pricing—arguing instead that such matters should be left to private negotiation between exhibitors and consumers.

The State defended its decision as a measure in public interest authorized by the Karnataka Cinema Act and consistent with constitutional principles intended to benefit directors, the film fraternity, and consumers. The Karnataka Film Chamber of Commerce sought to intervene in support of the ruling.

With the High Court’s stay, the disputed price cap stands suspended, allowing theatres and multiplexes to set their own pricing until the legal challenge is finally resolved.Karnataka High Court Stays ₹200 Film Ticket Price Cap
Court Grants Interim Relief to Multiplex Owners and Producers Pending Final Decision

The Karnataka High Court has stayed the State government’s recent rule capping all cinema ticket prices at ₹200, an amendment challenged by multiplex owners, film producers, and a PVR INOX shareholder. Justice Ravi V Hosmani passed the interim order in response to their petitions arguing that the blanket cap is unreasonable, arbitrary, and disregards the higher costs borne by multiplexes as compared to single-screen theatres.

Petitioners stated the rule’s uniform application ignores distinctions in investment, location, technology, and cinema formats such as IMAX or 4DX, and submitted that similar caps are not applied to OTT platforms or satellite TV. They also questioned the exemption for “multi-screen cinemas with premium facilities of 75 seats or less,” citing lack of clarity in definitions, and argued the change violates their constitutional right to conduct business under Article 19(1)(g).

Senior Advocates Udaya Holla and Dhyan Chinnappa, representing the industry, contended the government’s power to cap prices was not contemplated under the licensing and construction-oriented parent rules and that proper studies of industry realities were not done. The State, in contrast, asserted that public interest authorized such action, invoking powers under the Karnataka Cinema Act and the Constitution, and claiming consumer and industry benefits.

Following the High Court’s stay, the new price ceiling is suspended until final determination of the case, which signals an important pause for the industry while the court examines the legality and practical fairness of the cap.