Cineplex is set to appeal a CAN$38.9 million (US$29 million) fine imposed by Canada’s Competition Tribunal for allegedly engaging in “drip pricing.” The tribunal found that the cinema chain failed to disclose a mandatory $1.50 online booking fee upfront when customers purchased tickets.
Cineplex expressed shock at the ruling, stating, “We disagree with the decision and will appeal to the Federal Court of Appeal.” The company insists that their online booking fee is clearly presented and compliant with legal standards, arguing that it remains optional and provides value by securing tickets and seat locations in advance.
The Competition Bureau stated that Cineplex misled consumers by presenting contradictory information regarding ticket pricing on its website and mobile app. The imposed penalty aims to reflect the fees collected from customers between June 2022 and December 2023.
“Consumers deserve transparency and should not be surprised by hidden fees,” the Bureau emphasized, underlining the importance of fair competition in the marketplace. Despite the ruling, Cineplex maintains that their practices are transparent and beneficial for moviegoers.