Bengaluru: The Karnataka High Court on Tuesday granted an interim stay on the Congress-led state government’s order capping cinema ticket prices at ₹200 in multiplexes and traditional cinema halls across the state.

The decision was delivered by a bench headed by Justice Ravi V. Hosmani, following petitions filed by the Multiplex Association of India and other stakeholders. The petitioners sought temporary relief from the state’s order and challenged the Karnataka Cinemas (Regulation) (Amendment) Rules, 2025, which enforce the price cap.

According to the petitioners, the government’s move contravenes the Karnataka Cinema (Regulation) Rules, 1964, and was introduced unilaterally, without consultation with industry stakeholders.

The High Court had earlier reserved its judgement on September 16, after hearing arguments in the case.

Appearing on behalf of the Multiplex Association of India, senior advocate Mukul Rohatgi contended that the government’s amendment to the existing cinema regulations was arbitrary, lacking justification or rationale.

“The price of a ticket has been fixed at ₹200 – but on what basis?” he questioned. “What is the reason for setting this fixed price? If a customer is willing to pay more for additional luxury or better services, there is no justification for applying the same flat rule to everyone without considering individual choices.”

Rohatgi also highlighted that a similar price cap was introduced by the state government in April 2017 but was later struck down by the High Court and subsequently withdrawn. He argued that the current amendment is essentially a reintroduction of that invalidated rule, simply repackaged.

He added, “He is arguing that the government or authority should not impose a fixed ticket price because businesses invest money expecting to charge different prices based on the level of service or quality. There should be freedom for pricing based on market dynamics, and the law does not empower setting a fixed price. There can't be a direction that all airlines should be in economy class.”

Senior advocate Dhyan Chinnappa, representing Hombale Films, further argued that altering the law under the guise of a rule amendment is entirely unlawful.

On behalf of the state, Additional Advocate General S. Ismail Zabiulla defended the decision, asserting that it was made in the public interest and falls within the government’s constitutional powers to regulate such matters. He maintained that any law may be challenged only if it exceeds legislative authority, violates fundamental rights, contradicts the Constitution, or is inherently unreasonable.

The state government introduced the revised regulations on September 13, capping ticket prices at ₹200 (excluding taxes), aiming to make cinema more accessible and affordable for the general public. The cap followed amendments to the Karnataka Cinema (Control) Rules, 2014, now officially titled the Karnataka Cinemas (Regulation) (Amendment) Rules, 2025.

Notably, the cap includes an exemption: premium-format screens with 75 seats or fewer will not be bound by the pricing limit and may continue to set their own rates.

The court’s interim order means that implementation of the price cap will remain suspended until a final verdict is delivered.

IANS