Justice Ravi V Hosmani stayed the amendment until the court passes its final judgement.
Published Sep 23, 2025 | 1:07 PM ⚊ Updated Sep 23, 2025 | 1:07 PM
The Karnataka High Court. (Creative Commons)
Synopsis: The petitioners argued that the government’s move was arbitrary and detrimental to several businesses. While they questioned the government’s authority in imposing a ceiling on movie ticket prices, Karnataka argued that the matter is a state subject, and hence the government is empowered to make a decision.
The High Court of Karnataka passed an interim order on Tuesday, 23 September, staying the Karnataka Cinemas (Regulation) (Amendment) Rules 2025, which caps movie ticket prices at ₹200.
Justice Ravi V Hosmani stayed the amendment until the court passes its final judgement.
The Multiplex Association of India and others opposed the Karnataka Cinemas (Regulation) (Amendment) Rules 2025, saying a provisio added to it was arbitrary.
Senior Advocate Mukul Rohatgi, who appeared for the Association, questioned the basis for fixing the maximum ticket rate at ₹200.
“The price of the ticket is fixed at ₹200. What is the basis for doing this?” he asked.
Rohatgi said that a similar Government Order was passed in April 2017, which was challenged before the High Court, and the direction was suspended.
“Once this was done, the government withdrew the order. History is repeating itself now. Earlier it was by way of a GO, and now through the amendment of a rule,” he said.
“We have spent huge sums of money on creating cinema halls. There can’t be a direction that all your tickets should be at ₹200. Or all airlines should have only economy class. There is no power under the Act to fix a price whatsoever,” he argued.
“Hundreds of cinemas are affected, and the operation of the proviso must be suspended till lordships decide the matter finally,” he added.
Senior advocate Dhyan Chinnappa, appearing for M/s Hombale Films, LLP, submitted that the entire action of making a rule by amending another was illegal.
“It is a proviso to Rule 55. Rule 55 is in respect of ticket booths. It is about how it is to be set up, etc. It has nothing to do with the fixation of any rate. Rule 55 (6) charges for each ticket, as well as other charges, shall be as relevant in the act and rules. A proviso is introduced to sub Rule 55 (6). Can a proviso be introduced that does not provide for fare fixation? That too in a rule?” he argued.
Senior advocate DR Ravishankar appeared for a theatre. “This is purely a private contract between the exhibitor and the movie-goer. A movie in one theatre would be at a ticket price, and the same movie in another would be at another ticket price,” he explained.
Ravishankar also said the Act provided for regulating exhibition by means of cinematographs and the licensing of places in which cinematograph films are exhibited in the state.
He brought to the court’s attention that it was not one business, but multiple licensed businesses. “If there is no business, the economy crumbles. If this is to be undertaken, there has to be a statute. Some policy is to be laid down based on some data,” he submitted.
The state argued through Additional Advocate General Ismail Zabiulla that the ticket price was capped in the interest of the general public. “My right to regulate flows from the Constitution,” he said.
The AAG also referred to List II Entry 33 (Theatres and dramatic performances; cinemas subject to provisions of entry 60 of List I; sports, entertainments and amusements)
He also pointed out that the matter was a state subject, and the government has the authority to regulate the ticket fare.
The Karnataka government issued a draft notification to regulate cinema ticket prices, capping them at ₹200 for all language films across all theatres in the state, including multiplexes.
The draft, The Karnataka Cinemas (Regulation) (Amendment) Rules, 2025, was notified by the Under Secretary to the Government, Home Department (Prisons & Cinema), on 15 July. The government invited objections and suggestions on the proposed regulations within 15 days of their publication in the official gazette.
The amendment seeks to modify Rule 55, in sub-rule (6), of the Karnataka Cinemas (Regulation) Rules, 2014, and is being made in exercise of powers under Section 19 of the Karnataka Cinemas (Regulation) Act, 1964 (Karnataka Act 23 of 1964) to insert:
“Provided that the cost of the ticket of each show in all theatres of the state, including multiplexes for all language films, shall not exceed ₹200 (Rupees two hundred only) inclusive of entertainment tax.”
The move was first announced during the 2025–26 Budget presentation on 7 March by Chief Minister Siddaramaiah.
The proposed regulation is expected to bring relief to cine-goers, with ticket prices in some Bengaluru multiplexes previously going as high as ₹600.
It was not the first time such a cap has been imposed, however. In 2017, during Siddaramaiah’s earlier tenure as chief minister, a similar order was issued.
However, it was challenged in the Karnataka High Court by theatre owners, who continued to set their own prices despite the directive. The order was later withdrawn.
