FAS: COURT CONFIRMED OMISSIONS BY THE MINISTRY OF HEALTHCARE

Cassation Court supported the position of the competition authority in a dispute with the Ministry of Healthcare regarding unified requirements that license applicants and licensees must comply with

On 29 November 2018, the Arbitration Court of the Moscow District (Cassation Court) dismissed a claim of theMinistry of Healthcare and Roszdravnadzor [the Federal Service on Surveillance in Healthcare] to abolish FAS decision and order on the case against the Ministry (a violation of Article 15 of the Federal Law for Protection of Competition”). The Court upheld the judgment of the Court of First Instance and the ruling of the Appeal Court that had already pronounced legitimacy of the decision and order issued by the antimonopoly authority.

Earlier FAS established that theMinistry of Healthcare of the Russian Federation breached the Regulations for licensing medical activities (approved by No. 291 Decree of the Government of the Russian Federation of 16.04.2012) and failed to devise requirements necessary to license medical facilities. As a result, Russia lacks a unified system of licensing requirements for license applicants and licensees. At the same time, regional licensing bodies and regulators set requirements for medical facilities at their sole discretion, which restricts competition.

As at lower Courts, the Ministry did not manage to confute FAS conclusions that  in spite of its title, No.121n Order of the Ministry* contains only a list of works (services) that constitute medical activities but specifies absolutely no requirements  thatlicense applicants, licensees, the licensing bodies and regulators must be guided by.

Deputy Head of FAS Department for Control over Social Sphere and Trade, Maxim Degtyarev, pointed out: “Today the Cassation Court confirmed the main conclusion of the antimonopoly authority about omissions by the Ministry of Healthcare in the part of not-setting licensing requirements for medical facilities.  Since the Ministry does not have any legal grounds not to execute the order, FAS expects that the Ministry of Healthcare of the Russian Federation shall undertake exhaustive measures to stop violating the antimonopoly law and devise and approve the relevant licensing requirements within the shortest time period”.

* No.121n Order of the Ministry of Healthcare of the Russian Federation “On approving the requirements for organizing the carrying out (rendering) works (services) providing primary medical-and-sanitary, specialized (including technology-intensive), emergency aid (including, specialized emergency aid), palliative care, medical assistance in health resort treatment, in medical  expert reviews, medical examinations, medical check-ups and sanitary-and-antiepidemic (preventative) measures delivering healthcare services, transplanting organs and (or) tissues, circulating donor blood and (or) its components for medical purposes” of 11.03.2013.