In a landmark ruling, the Gujarat State Consumer Disputes Redressal Commission (SCDRC) has made it clear: a hospital that offers free medical services can still be held liable for negligence under the Consumer Protection Act, 1986. The fact that no fees were charged does not shield it from accountability.

Here’s what doctors, patients, and legal professionals should know about this important decision.

⚖️ Case Background

• The case traces back to 2013, when Bharatkumar Gorahva underwent a kidney-stone operation at Akshar Surgical Hospital, Botad (Gujarat).
• Although the surgery was successful, the patient was given an antiseptic injection at discharge, which is alleged to have adversely affected his heart and led to his death.
• The patient’s family filed a complaint in the Bhavnagar District Consumer Forum (Case No. 44 of 2014) claiming medical negligence.
• The District Forum dismissed the case on the ground that the deceased was not a “consumer,” since the hospital provided free treatment and charged no fees.

🏛️ The SCDRC Appeal Ruling

• On appeal, the Gujarat SCDRC reversed the District Forum’s decision. It held that “free service would also be service,” and that a person receiving free medical services still qualifies as a “consumer” under Section 2(1)(o) of the Consumer Protection Act.
• The SCDRC drew upon precedents—especially Indian Medical Association vs. V. P. Shantha (AIR 1996 550)—which clarified that when a hospital provides a cross-subsidy model (i.e., charging some patients, offering free services to others), all its services fall within the ambit of “service.”
• The Commission quashed the lower forum’s dismissal and remanded the case back for fresh adjudication on merits, instructing the District Forum to resolve it within six months.

🔍 Legal & Clinical Implications

For Hospitals & Clinicians

• No immunity via free service
  Hospitals cannot evade liability simply because they don’t bill their patients. Free medical services still constitute a “service” under the law.
• Duty of care is non-negotiable
  The standard of care, documentation, safety protocols, and informed consent must be upheld even in charitable or free-of-cost settings.
• Risk management & policies
  Hospitals should treat free and paid services with equal rigor in quality assurance, litigation preparedness, and insurance coverage.

For Doctors & Patients

• Awareness of patient rights
  Patients (or their legal heirs) can pursue claims for deficiency of service or negligence regardless of payment.
• Communication & consent
  In free-service settings, doctors should ensure proper informed consent and transparent communication, as legal accountability remains.
• Documentation is critical
  Meticulous record-keeping, operative notes, consent forms, and postoperative care logs become even more crucial in defending against claims.

🌐 Broader Takeaways for the Indian Health Ecosystem

• This ruling strengthens patient rights and reaffirms that accountability in medicine is not conditional on payment.
• It encourages uniform standards of care across public, charitable, and private healthcare sectors.
• For Doctorpreneur Academy doctors, it’s a reminder that medical excellence must match legal awareness—especially when engaging in community clinics, pro bono work, or health camps.

You can view the full SCDRC judgment PDF here: [Gujarat SCDRC Judgment PDF]

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