Cineplex aims to challenge latest drip pricing decision before Supreme Court

The Cineplex Odeon Theatre at Yonge and Eglinton in Toronto is shown on December 16, 2019. THE CANADIAN PRESS/Aaron Vincent Elkaim

TORONTO — Cineplex Inc. says it disagrees with a court decision upholding a $39-million penalty related to deceptive marketing.

The Federal Court of Appeal upheld a 2024 decision from the Competition Tribunal regarding Cineplex’s presentation of online booking fees, the Toronto-based company said Friday. 

Cineplex said it will look to appeal to the Supreme Court of Canada.

The online booking fee was a $1.50 charge Cineplex began including in June 2022 for many customers not enrolled in its CineClub subscription and Scene Plus loyalty programs, which saw the fee waived and dropped to $1, respectively.

The Competition Bureau, which triggered the case in 2023, said the practice amounted to drip pricing, where a low price draws people in before they’re caught off guard later in the checkout process by fees that cause their total to climb.    

The bureau had argued its decision should stand because Cineplex advertised ticket prices that were “unattainable” and did not make clear that making a purchase at a theatre would waive the fee.

The $38.9-million fine is equivalent to the amount it collected from consumers through the online booking fee between June 2022 and December 2023.

Cineplex has maintained it was upfront about the charges.

“We respectfully disagree with the Federal Court of Appeal’s decision. We continue to believe that our online booking fee has always been presented in a clear and prominent manner that fully complies with the spirit and letter of the law,” the company said in a news release. 

The case had an impact on Cineplex’s third-quarter earnings, reported in November of last year. 

The company said its profit amounted to two cents per diluted share for the quarter compared with a loss of 39 cents per diluted share in the same quarter last year. The swing was largely because Cineplex had to put aside cash in the event it would have to pay the record fine imposed by the Competition Tribunal.

Drip pricing-related issues aren’t confined to industries where tickets are sold. As the bureau has discovered, it’s cropping up in all kinds of transactions.

It’s pursued drip pricing claims against delivery service DoorDash, broadcaster SiriusXM Canada, amusement park Canada’s Wonderland, TicketNetwork and several car rental services.

SiriusXM, for example, reached an agreement to pay a $3.3 million penalty in 2024.

This report by The Canadian Press was first published Jan. 23, 2026.

The Canadian Press