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Court Gives Favorable Verdict to Multiplexes on Service Charges!
By: Tupaki Desk | 21 April 2022 7:00 AM GMT
The Andhra Pradesh government is adamant about making the ticket sales as per the prescribed charges. A system is being readied for the same purpose and we can hear a piece of official news on this any time soon. Current Cinematography Minister Chelluboina Venu Gopala Krishna said the same after taking the oath. This shows that the Government is in no mood to leave the issue.
While the government is saying that the ticket prices issue will give a big relief to people in the state, the multiplexes in the state are facing several issues as the service charge collected to provide online booking is included in the ticket prices.
Unhappy with the Andhra Pradesh Government's decision, the Multiplex Association of India had filed a petition in the High Court. Hearing a petition, the High Court said that the Multiplexes can impose service charges as it takes a whole mechanism to facilitate online ticket sales.
While permitting the multiplexes to impose a service charge on online charges, the High Court made it clear that the government has no power to dictate prices for movie tickets, reports said. During the arguments, the High Court asked what efforts the licensing authority made in addressing the issue.
To allow the multiplexes to impose the service charges for the online tickets, the Andhra Pradesh High Court issued interim orders. Stressing how much effort it takes to provide the online ticket, the Court said that the service can be charged and it cannot be included in ticket prices.
Though the service charges imposition was permitted by the High Court, the next hearing was adjourned to the 15th of June. The High Court directed the Multiplex body and the Andhra Pradesh government to file a counter-affidavit on the issue.
It has to be mentioned here that the Andhra Pradesh government had fixed prices for the movie tickets. Based on the type of theaters like single screen and multiple the ticket prices were fixed. On top of this, the service charge was also asked to be included in the ticket prices. Multiplexes are saying that they cannot run a business like this.
While the government is saying that the ticket prices issue will give a big relief to people in the state, the multiplexes in the state are facing several issues as the service charge collected to provide online booking is included in the ticket prices.
Unhappy with the Andhra Pradesh Government's decision, the Multiplex Association of India had filed a petition in the High Court. Hearing a petition, the High Court said that the Multiplexes can impose service charges as it takes a whole mechanism to facilitate online ticket sales.
While permitting the multiplexes to impose a service charge on online charges, the High Court made it clear that the government has no power to dictate prices for movie tickets, reports said. During the arguments, the High Court asked what efforts the licensing authority made in addressing the issue.
To allow the multiplexes to impose the service charges for the online tickets, the Andhra Pradesh High Court issued interim orders. Stressing how much effort it takes to provide the online ticket, the Court said that the service can be charged and it cannot be included in ticket prices.
Though the service charges imposition was permitted by the High Court, the next hearing was adjourned to the 15th of June. The High Court directed the Multiplex body and the Andhra Pradesh government to file a counter-affidavit on the issue.
It has to be mentioned here that the Andhra Pradesh government had fixed prices for the movie tickets. Based on the type of theaters like single screen and multiple the ticket prices were fixed. On top of this, the service charge was also asked to be included in the ticket prices. Multiplexes are saying that they cannot run a business like this.
