‘₹700 for coffee, ₹100 for water’: Supreme Court says cinema halls will be empty if multiplexes don't fix food prices 

The Supreme Court on Monday raised concerns over the steep rates charged by multiplexes for movie tickets as well as food and beverages, observing that pricing should be kept reasonable to ensure audiences continue to visit theatres.

A bench of Justice Vikram Nath and Justice Sandeep Mehta was hearing petitions filed by the Multiplex Association of India and others challenging certain conditions imposed by the Karnataka High Court while staying the state government’s decision to cap multiplex ticket prices at ₹200.

During the hearing, Justice Nath remarked on the high costs of items sold inside multiplexes. “You charge 100 Rupees for a water bottle, 700 Rupees for coffee,” he was quoted as saying by Live Law. Senior advocate Mukul Rohatgi, who was representing the Multiplex Association, said: “Taj will charge Rs 1000 for coffee, can you fix it? It is a matter of choice.”

To this, Justice Nath replied, “This (rates) should be fixed. Cinema as it is declining, make it more reasonable for people to come and enjoy, otherwise, cinema halls will be empty.”

When Rohatgi argued, “Let it be empty, this is only for multiplex. You can go to the normal ones. Why do you want to come here only?”, Justice Nath observed, “There are no normal ones left.” He further said, “We are with the division bench, that it should be 200.”

Rohatgi contended that the conditions imposed by the Karnataka High Court were unworkable, especially the direction requiring multiplexes to keep track of buyers’ ID card details for cash transactions.

“The learned judges think that tickets are sold through counter. Tickets are sold through BookMyShow. They will have the details. I don’t keep any details or IDs. Nobody goes to the counter to buy a ticket,” he said, adding, “Who carries an ID card to buy a ticket? The High Court says for every ticket purchased with cash, keep the ID card details.”

The High Court division bench had earlier ordered multiplexes to maintain auditable records of every ticket sold, track both online and offline buyers to enable refunds if they lose the case, and get their audit reports verified periodically by a chartered accountant.

The counsel for the Karnataka government said the High Court’s directions were interim measures meant to ensure refunds could be issued if the state’s position was upheld later. “If your lordship is paying today Rs 1000, and tomorrow the State wins, your lordship will get the 800 back. That’s all the division bench ordered,” the counsel said.

Senior advocate Shyam Divan, appearing for another petitioner, argued that the state had no statutory authority to fix cinema ticket prices.

Senior advocate V. Lakshminarayana, representing the Karnataka Film Chamber of Commerce, said the High Court order was a “consent order” passed after all parties agreed to the interim arrangement. The Supreme Court issued notice on the petitions and stayed the High Court’s conditions for the time being.