A two-minute video clip uploaded on Facebook and YouTube before being removed shows cinema goers heckling the family for "disrespecting" the national anthem, before bursting into applause after the family is evicted from the theatre.
The location of the incident is unclear, with some reports suggesting it happened in the city of Mumbai.
An official from PVR Cinemas defended the decision to remove the family.
"Being a law-abiding company, like all other cinemas in Maharashtra, PVR Cinemas follows the practice of playing the national anthem prior to every show. On November 29, 2015, there was an altercation between guests at one of our cinemas in Mumbai. Our staff intervened keeping in mind the safety of guests and a peaceful environment for all our guests."
The necessity and value of playing the national anthem in India's cinema is being debated vociferously in the wake of the family's eviction from the cinema.
Legal opinion is divided on whether it is illegal to refuse to stand during the broadcast of the national anthem before a film's screening.
Supreme Court advocate Karuna Nundy said while it is a crime to disrupt or intefere with the broadcast of the national anthem, it is less clear whether refusing to stand is considered an offence.
“Whenever the anthem is sung or played, the audience shall stand to attention," she told the Hindu, citing The Prevention of Insults to National Honour Act of 1971.
She added that the order does not mention a penalty and does not take into account the rights of elderly persons or people with a disability who may not physically be capable of standing.
“The provision could do with a court challenge,” she said.
The 1971 Act states: “Whoever intentionally prevents the singing of the Indian National Anthem or causes disturbances to any assembly engaged in such singing shall be punished with imprisonment for a term, which may extend to three years, or with fine, or with both.”
Writing for the IndiaTimes, Deepu Madhavan said the Home Ministry rules make it clear that remaining seated during the national anthem is not illegal.
"Whenever the anthem is sung or played, the audience shall stand in attention. But if it's played during the course of a newsreel or documentary as a part of the film, the audience is not expected to stand, as standing is bound to interrupt the exhibition of the film and create disorder and con fusion rather than add to the dignity of the nation," Madhavan cited the rules as saying in an opinion piece.
Last October, the issue was debated after Bollywood actress Preity Zinta asked a patron to leave a cinema because he refused to stand for the national anthem.
Legal issues aside, the debate was revived again with Twitter users on both sides of the debate.
