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Bombay High Court Overturns Maharashtra Ban on Online Ticket Convenience Fees

The court deemed the orders beyond the state’s statutory authority under the Maharashtra Entertainment Duty Act, violating businesses’ constitutional right to trade.

Court strikes down Maharashtra's orders banning online ticket convenience fees
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The high court ruling came in response to petitions filed by PVR Ltd, Big Tree Entertainment Pvt Ltd (which operates BookMyShow), and the FICCI-Multiplex Association of India.
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Overview

  • On July 10–11, a division bench of Justices MS Sonak and Jitendra Jain quashed the April 2013 and March 2014 government orders barring convenience fees on online movie ticket bookings.
  • The judges ruled the directives lacked backing under the 1923 Maharashtra Entertainment Duty Act and were therefore unconstitutional.
  • The verdict found that prohibiting convenience fees infringed Article 19(1)(g) of the Constitution, which guarantees the right to carry on any trade or business.
  • Petitioners PVR Ltd, BookMyShow operator Big Tree Entertainment and the FICCI-Multiplex Association secured an interim stay in July 2014, allowing sites to continue charging fees while litigation proceeded.
  • The court clarified it did not rule on whether convenience fees attract entertainment duty, leaving that fiscal question unresolved.