'Make it more reasonable for people': Supreme Court raises concern over exorbitant rates at multiplexes

The exorbitant prices of movie tickets and snacks at multiplexes have often drawn criticism from consumer rights activists, even leading to court cases in several instances. Now, the Supreme Court has raised serious concerns over the steep prices of tickets and food items at multiplexes.

A bench of the apex court, in an oral observation on Monday, said that exorbitant rates for tickets and food items at multiplexes could drive audiences away, leaving the ‘halls empty’.

The bench, comprising Justice Vikram Nath and Justice Sandeep Mehta, observed that the rates should be appropriately fixed so that people will come, Live Law reported. "Otherwise, the cinema halls will be empty," the Bench said.

The apex court’s observations came while hearing petitions by Multiplex Association of India against a Karnataka HC orde

r to cap multiplex ticket prices at ₹ 200. The SC bench stayed the HC order, while issuing a notice on the petitions.

The division bench of the Karnataka HC had directed the multiplexes to keep auditable records of every ticket sold, track the people who bought tickets both online and offline, so that refunds can be made if the multiplexes lose the case.

The HC also ordered multiplexes to maintain audit reports verified by a CA regularly, among other things.

While referring to the exorbitant rates, Justice Nath said, "You charge ₹ 100 for a water bottle, ₹ 700 for coffee."

Representing the Multiplex Association of India, Senior Advocate Mukul Rohatgi said, "Taj will charge ₹ 1000 for coffee, can you fix it? It is a matter of choice."

To which Nath said, "This(rates) should be fixed. Cinema, as it is declining, makes it more reasonable for people to come and enjoy; otherwise, cinema halls will be empty." Rohatgi further said to visit the 'normal ones' instead of the multiplex and asked, "Why do you want to come here only?"

"There are no normal ones left. We are with the division bench, that it should be 200," Justice Nath added.

Rohatgi further argued that the division bench's conditions for movie ticket sales were impractical because it's difficult to track the ID details of cash-paying customers.

He further mentioned that it was also difficult to track the record, as most tickets are booked online through online platforms like BookMyShow. He explained that people don't typically carry an ID to buy tickets, and the High Court's directive assumes tickets are sold at a physical counter.

According to the state's counsel, the conditions were imposed as an interim measure to ensure that if the state ultimately wins the case, customers who paid an excess price can get a refund.

"If your lordship is paying today ₹ 1,000, and tomorrow the State wins, your lordship will get the ₹ 800 back. That's all the division bench ordered."

The matter was posted for further hearing on November 25.