An Ahmedabad-based lawyer has reportedly sent a legal notice to PVR INOX Ltd, questioning the multiplex chain’s alleged refusal to accept cash payments at its cinema hall in city’s Palladium Mall, seeking clarity on the legality of the “cashless-only policy”.
He alleged that staff members refused to accept cash for his movie ticket and food and beverages, leaving him with no option but to pay through UPI. He argued that a blanket refusal to accept cash at a consumer-facing business raises questions about transparency and asked whether customers were adequately informed. Advocate Utkarsh Dave issued the notice after visiting the multiplex on September 13 to watch a film, according to a report by The Times of India. Dave’s notice, according to the ToI report, refers to Section 26(1) of the Reserve Bank of India Act, 1934, which recognises RBI-issued banknotes as legal tender.
The notice also invokes provisions of the Consumer Protection Act and asks PVR INOX to clarify whether it has formally adopted a cashless-only policy. “If PVR INOX has consciously adopted such a restrictive policy, the same ought to be prominently displayed at the relevant points of sale and communicated to consumers in advance.
A customer cannot reasonably be expected to discover the existence of such a policy only after reaching the counter and tendering cash,” the notice stated, according to The Times of India. that does not automatically mean every private business is required to accept cash for every transaction, according to legal expert Dinkar Sharma, partner at Jotwani Associates, as quoted by Mint While RBI-issued banknotes are legal tender in India. Even physical businesses may generally adopt a cashless policy and accept only UPI, cards or other digital payment methods, provided there is no specific legal or regulatory requirement requiring them to accept cash, the expert said.
