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Cineplex appeals Competition Tribunal’s $38.9M fine over online booking fee

Click to play video: 'Cineplex slapped with record $38.9M fine over online booking fee'
Cineplex slapped with record $38.9M fine over online booking fee
RELATED: Cineplex slapped with record $38.9M fine over online booking fee – Sep 24, 2024

Cineplex has filed an appeal of a record $38.9-million fine for deceptive marketing practices imposed against it by the Competition Tribunal.

The company says it has filed a notice of appeal with the Federal Court of Appeal.

It also says that with the consent of the Competition Bureau it is bringing a motion to request a stay of the fine pending completion of the appeal. Cineplex says it has been granted an interim stay until the motion is heard by the Appeal Court.

Click to play video: 'Business Matters: Cineplex made nearly $40M from online ticket fees in drip-price lawsuit'
Business Matters: Cineplex made nearly $40M from online ticket fees in drip-price lawsuit

The penalty was part of a decision the tribunal issued in September that saw it side with the Competition Bureau, which accused Cineplex of misleading theatregoers by not immediately presenting them with the full price of a movie ticket when they bought seats online.

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Cineplex began charging an $1.50 online booking fee in June 2022 to many customers not enrolled in its CineClub subscription and Scene Plus loyalty programs, which saw the fee waived and dropped to $1, respectively. It’s a practice known as drip pricing.

Cineplex has denied the accusations, saying moviegoers are promptly told about fees they may face and can avoid them all together by purchasing seats in-person at a theatre.

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