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Right to Decide Fees in Private Medical Practice Upheld by Courts - Institute of Medicine & Law

Right to Decide Fees in Private Medical Practice Upheld by Courts

A patient sued a private laboratory for overcharging him for an X-ray, alleging the cost was five times the government rates. The State Consumer Court dismissed the complaint, ruling that private laboratory charges are not regulated by the government.

Irrefutable Facts

After injuring his hand, a patient was advised by a public hospital doctor to get an X-ray. The patient opted to get the X-ray at a nearby private laboratory and paid Rs. 300.

The health department confirmed in an RTI query that it does not set or regulate pricing for private diagnostic laboratories.

The Dispute

The patient accused the laboratory of exploiting the situation by charging Rs. 300, which was far higher than the government rate of Rs. 30.

The laboratory defended its charges, stating that the patient had come voluntarily and was charged standard private market rates.

Court’s View

The Consumer Court rejected the patient’s allegations of service deficiency and unfair trade practices. The court observed that, since the health department does not regulate private laboratory test rates, hospitals or doctors can set and charge patients fees they deem fit and proper, and that this is legally valid.

While the complaint’s dismissal was upheld, the court waived the lower court’s Rs. 3,000 fine on the patient because he was a student.

Prevention is Better Than Cure

Private facilities should prominently display their tariff cards and verbally inform patients of estimated costs before any procedure or test to prevent allegations of overcharging. They anyway have complete freedom to decide their fees.

Source

Arpit Chauhan v/s Chauhan Clinical Laboratory & Ors.

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