Arbitration - Hospital (Mr. Chaudhary)

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ARBITRATION – HOSPITAL (MR.

CHAUDHARY)
Question- Whether the contract of professional services could be enforced against the doctor?
Research- Relevant points- Same

Counsel-1 (Kashish)

The employee is mandated to take reasonable steps to keep all the confidential information in confidence
except and to the extent when disclosure is mandatory under any law in force. The employee further
agrees that he/she shall not discuss or disclose the confidential information of the company to any person
or business unrelated to the company.

The Supreme Court of India (“Supreme Court”) in Niranjan Shankar Golikari v. Century Spg & Mfg
Co. Ltd enumerated the tests to determine the validity of ‘restrictive’ agreements in terms of Section 27
of the Contract Act and with this they also propounded that if the restriction is reasonable then it would
not come under the ambit of section 27 of the ICA, 1872.

There were certain reasons as to why we had this condition in the contract of service. These are that
during Mr. Singh’s employment, he was bound to come across certain confidential information of a
patient [name not disclosed] who is one of the placebo candidate for a trial vaccine against the +HIV
virus. Since our hospital and bio lab has been working on this for the past 30 years, we could not have
given a chance to any employee so that they could divulge this information to any other hospital in the
city. The information includes the results of the all the tests conducted on the candidate. And there are
other hospitals in the vicinity working on a similar kind of vaccine. Even though he is working
independently, he can divulge information to any private citizen which would also amount to the same
result.

Therefore in light of this, we ask Mr. Arbitrator to pass the injunction order under Section 17 of the IAC,
1996, so that we may work for these two years without any fear of filing cases against people or hospitals.

Question – Whether damages are to be paid by the doctor?

Research - Same

Counsel 2) (Kunal)

Mr. Arbitrator even though there is no law or judgment rendered by any court in India, that
prohibits dual practice by doctors, I think you could be the one to create a new narrative out of
this dispute.

Although the MCI has no strict/specific guidelines pertaining to issue of private practice by
government doctors, yet a clue of its recommendations for private practice by doctors can be
taken from, Indian Medical Council (Professional conduct, Etiquette and Ethics)
Regulations, 2002.

In Chapter 1 (Code of Medical Ethics) part B (Duties and responsibilities of the Physician
in general), clause 1.8 (Payment of Professional Services), it says, “The physician, engaged in
the practice of medicine shall give priority to the interests of patients. The personal financial
interests of a physician should not conflict with the medical interests of patients. A physician
should announce his fees before rendering service and not after the operation or treatment is
under way. Remuneration received for such services should be in the form and amount
specifically announced to the patient at the time the service is rendered. It is unethical to enter
into a contract of ‘no cure no payment’. Physician rendering service on behalf of the state shall
refrain from anticipating or accepting any consideration.”

Counsel- 3 (Aman)

Secondly, Mr. Arbitrator, In India, over the last decade, a series of stewardship failures in the
health system, particularly in the medical profession, have led to a massive erosion of trust in
these institutions. Doctors across the country have been exposed and indicted on counts of
corruption, professional negligence, taking kickbacks, and illegal dual practice, both in the court
of law.

The trust between individual patient and individual care provider/doctor, and institutional trust,
which relates primarily to trust in the medical profession or in the healthcare system, is one of
the most important facets. But this has not been the case with us. Mr. Singh has been careless in
his professional commitments since we did not know that he was doing private practice too while
being employed.

Therefore, we implore this tribunal to pass an order, including the above order of injunction, to
pay the damages to the tune of the 12 month salary within a specified period of time as deemed
fit by this tribunal.

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