Hospitals Can Be Held Liable For Negligence Even In Free Treatment, Rules Commission

Last Updated:September 23, 2025, 12:00 IST

The family told the State Commission, citing a Supreme Court ruling, that even hospitals offering free treatment are covered under the Consumer Protection Act

The Commission has ordered the District Forum to re-examine the case within six months. (Representative/Shutterstock)

The Gujarat State Consumer Disputes Redressal Commission has clarified that patients receiving free treatment are still considered consumers under the Consumer Protection Act, as hospitals provide a “service.” This decision led the Commission to refer an old case to the District Forum for re-examination.

The case, dating back to 2015, involves a patient’s family’s demand for compensation following alleged medical negligence that resulted in the patient’s death. Despite the free treatment provided by the hospital, the Commission has ordered the District Forum to re-examine the case within six months.

The incident occurred in 2013 when the patient Bharatkumar Gorhava was admitted to Akshar Hospital in Botad for kidney stone treatment. Post-surgery, Gorhava received an antiseptic injection that worsened his condition, leading to his death.

The family sought compensation from the hospital through the Bhavaninagar District Consumer Disputes Redressal Forum, which dismissed their complaint, stating that the patient was not a consumer due to the free treatment.

Refusing to give up, the family appealed to the State Commission, where their lawyer cited a Supreme Court decision affirming that hospitals providing free treatment still fall under the Consumer Protection Act. The Commission accepted this argument and remanded the case for re-examination.

This decision is significant for patients, as it clarifies that even those receiving free treatment can file complaints against hospitals for negligence. Under the Consumer Protection Act, any service provided by a hospital, whether free or paid, qualifies the patient as a consumer, allowing them to seek compensation for any negligence in treatment.

In a related initiative, the government has taken steps to ensure the benefits of GST rate reductions reach consumers. A dedicated section has been created on the National Consumer Helpline’s INGRAM portal in New Delhi for registering complaints related to GST rate changes. Complaints can also be made via the toll-free number 1915.

The Consumer Ministry stated that information received through this helpline will be shared with companies, the Central Board of Indirect Taxes and Customs, and other authorities for prompt action. This initiative aims to ensure compliance with GST regulations and uphold consumer rights, empowering consumers to raise their voices and participate in a fair system.

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