A consumer disputes redressal commission in Telangana has ordered an Ayurvedic hospital to pay Rs 63,000 to the parents of a deceased cancer patient, ruling that withholding payment for unrendered therapies and unconsumed medicines constitutes an unfair trade practice and unjust enrichment.
The bench, comprising President B. Uma Venkata Subba Lakshmi and members C. Lakshmi Prasanna and B. Raji Reddy, directed the medical facility to refund Rs 53,000 toward the unutilized consultation, therapy sessions, and unused medicines, subject to the return of the pharmaceuticals by the complainants. The commission also awarded an additional Rs 10,000 to the family as compensation and litigation costs.
The ruling, issued on September 7, determined that the healthcare provider had demonstrated no legal, statutory, or contractual basis to retain the patient’s money, particularly given the tragic circumstances surrounding the patient’s death before the course of treatment could be administered.
Emergency Hospitalisation And Sequence Of Events
According to the complaint filed by the 67-year-old father and 64-year-old mother, their son had been undergoing chemotherapy for colorectal cancer. In an effort to secure palliative care and supplementary immunity support, the family approached the Ayurvedic hospital, which specializes in chronic illness treatments.
On September 17, the parents paid Rs 58,300 to cover a three-month package that included medication, medical consultations, and 10 scheduled therapy sessions.
Two days following the payment, the patient developed severe vomiting and intestinal blockage. He was immediately transferred to an emergency care facility, where he underwent surgery before being discharged on October 6. The parents stated that they kept the Ayurvedic hospital formally apprised of their son’s emergency admission and critical health status.
The Ayurvedic center subsequently delivered the packaged medicines on October 16. However, the patient suffered an acute health relapse shortly after and was rushed back to the hospital, where he succumbed to his condition on October 24.
Commission Condemns Unjust Enrichment
Following their son’s death, the parents returned the unopened medicines and formally sought a refund for the services that were never delivered. Despite repeated reminders sent via email, WhatsApp correspondence, and a formal legal notice, the facility failed to return the funds, prompting the couple to approach the consumer commission for relief.
The commission noted that the hospital chose not to appear during the proceedings and failed to place any counter-evidence or defense on record.
Upon reviewing the submitted correspondence and notices, the bench concluded that the hospital had wrongfully retained the funds despite receiving timely communication from the family. The panel emphasized that when medical treatments and therapy sessions remain unutilized due to a patient’s demise, service providers cannot withhold refunds without valid legal justification.

