Supreme Court of India· 17 March 2025

Under the Constitution of India, which government is competent to regulate the pricing practices of private hospitals?

SIDDHARTH DALMIA & ANR. v. UNION OF INDIA & ORS.

2025 INSC 351 · WRIT PETITION (C) No. 337 of 2018
Coram: Surya Kant; Nongmeikapam Kotiswar Singh

🔖 Save this judgment 🔔 Follow Art.32 Constitution of India 📬 Get today's judgments

View the original judgment PDFFree to read. To download it — or the LexStreak typeset copy with the headnote and Points of Law — create an account; downloads are part of the Pro plan.

Answer

The State Governments. The subject of public health and sanitation, hospitals and dispensaries falls under List II, the State List, so any such measure must be taken by the State Governments keeping their local conditions in mind. That is why the direction issued was addressed to all the State Governments to consider the issue and take appropriate policy decisions as they may deem fit.

Headnote

Constitution of India — Arts. 21, 32, 38, 39, 47 — List II (State List) — Public health — Private hospitals — Pricing of drugs — Policy decisions — Judicial restraint — Constitution of India — Art. 32 — Policy decisions — Scope for mandatory directions — Held: Issues of paramount public importance that primarily involve policy decisions are for the policy-makers, who are best equipped to take a holistic view and formulate the guidelines; mandatory directions that would hamper the growth of hospitals in the private sector are not advisable. (¶15, 17) Constitution of India — Art. 21, Part IV — Medical facilities — Right to life — Held further: Provision of medical facilities to one and all is an essential component of the right to life, and where the requisite medical infrastructure falls short of the population the States have themselves facilitated private entities and look to them. (¶13) Constitution of India — List II (State List) — Public health and hospitals — State competence — Held further: Public health and sanitation, hospitals and dispensaries fall in the State List, so regulation of this kind must come from the State Governments keeping their local conditions in mind; writ petition disposed of with a direction to consider the issue. (¶16, 18)

In the Court's own words

Paragraph 16It may be noticed that the subject of public health and sanitation, hospitals, and dispensaries falls under List-II – the State List – and, therefore, any such measure, as illustrated above, must be taken by the State Governments, keeping their local conditions in mind.

Paragraph 18Consequently, we dispose of this Writ Petition with a direction to all the State Governments to consider this issue and take appropriate policy decisions as they may deem fit.

Acts & Sections

Art.32 Constitution of IndiaArt.21 Constitution of IndiaArts.38, 39 and 47 Constitution of IndiaDrugs and Cosmetics Act, 1940Essential Commodities Act, 1955

One judgment a day. That's the whole habit.

Read the full text of SIDDHARTH DALMIA & ANR. v. UNION OF INDIA & ORS. — and get the Supreme Court's output as a five-minute daily read, with plain-language headnotes and the questions each judgment settles.

Create my free account

Free forever plan · 30 seconds · data stays in India

Open the full judgment →

Also decided in this judgment

When a petition under Article 32 of the Constitution raises an issue of public importance that turns on policy, will the Supreme Court issue mandatory directions?Is the provision of medical facilities part of the right to life under Article 21 of the Constitution?What competing consideration limits regulation of private hospitals under a right-to-health claim?

Plain-language answer prepared by the LexStreak Editorial Desk — verify against the judgment. Source: Supreme Court of India. Corrections