Today, On 16th December, Supreme Court stayed coercive action against private hospitals challenging Kerala High Court directions requiring display of medical services and treatment rates at hospital receptions. Court sought responses from Centre and Kerala government, fixing hearing on February 3, 2026.
New Delhi: The Supreme Court provided interim relief to a private hospitals association by ruling that no coercive actions may be taken against them for their non-compliance with a Kerala High Court judgment regarding the display of services and their associated rates.
The Kerala High Court’s ruling, which is currently being challenged, mandates that hospitals publicly disclose at their reception desks and on their official websites a comprehensive list of services along with the baseline and package rates for frequently performed medical procedures.
A Bench comprising Justices Vikram Nath and Sandeep Mehta requested responses from both the Central and Kerala governments concerning the appeal against this ruling and scheduled the case for further consideration on February 3, 2026.
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The Court also invited Solicitor General Tushar Mehta to assist and added the Union Health and Family Welfare department as an additional respondent in the case.
Regarding interim relief, the Court stated,
“An order dated 3.7.2025 has been placed before us according to which the respondents were directed not to take coercive steps against the members of the petitioner organization. Counsel submits that members of the petitioner organization will apply for permanent registration. Coercive steps may not be taken till the next date. Members of the petitioner organization will continue to get themselves registered under Section 19 of the Act. However, no coercive steps may be taken in the meantime. Interim order is till the next date fixed which is February 3.”
Senior Advocate Gopal Sankaranarayanan, representing the private hospitals association, outlined the practical challenges in adhering to the High Court’s ruling.
He urged the Supreme Court to suspend any coercive actions against hospitals for failing to meet the High Court’s directives while their appeal is under consideration.
Sankaranarayanan remarked,
“The reason why we have challenged (the High Court ruling) is that the prices vary hugely (depending on the medical condition). It could be a small fracture of a finger, could be a pre-diabetic condition, etc. I will have to put out 10-15,000 different items. Our challenge is that my registration will be cancelled and then there’s prosecution, which will follow. The Division Bench says that privacy issues are not considered by us because it will be held by a public entity. The Kerala Act is stricter than the Central legislation. Coercive steps in the judgment may be stayed,”
Advocate Siddharth R. Gupta further emphasized,
“The package rates refer to the baseline services. Baseline services you have to offer as package services. My lords may hear it. There are two judgments against them as of date. They are not allowing an Act to fructify. They have kept the Act on hiatus. They are not implementing it. It’s a watershed legislation.”
The High Court’s judgment, issued last month, aims to enhance patient welfare and ensure the effective implementation of the Kerala Clinical Establishments (Registration and Regulation) Act, 2018.
It included multiple directives to guarantee transparency in key facility information, such as bed categories, ICU/OT availability, imaging and laboratory services, and ambulance or contact details.
The Court specified that information about fees for commonly conducted procedures must be clearly posted in both Malayalam and English on the hospitals’ websites and at reception areas.
Failure to comply with these guidelines may lead to regulatory penalties under the Kerala Clinical Establishments (Registration and Regulation) Act, 2018, including suspension or cancellation of registration and the potential for civil, criminal, or constitutional remedies accessible to patients.
The Court upheld the constitutional validity of the key provisions of the Act as part of this judgment.
Case Title: Kerala Private Hospitals Association And Anr. Versus State Of Kerala And Ors