Hospital Business Suspension

① Where treatment is not commenced within 3 months of opening

-> Where operations are not commenced within 3 months of the hospital opening report or permit, without justifiable grounds

② Opening or operation by lending a name

-> Where a medical professional opens or operates a hospital by borrowing the name of another person or corporation

③ Unlicensed medical practice or treatment outside the scope of the license

-> Where an unqualified person is made to provide treatment, or a medical professional is made to engage in a medical procedure beyond the scope of the license

④ Obstruction of the duties of relevant public officials, or noncompliance with an administrative order

-> Where an investigation or corrective order by the health authorities is refused or ignored

⑤ Revocation of establishment permit or dissolution

-> Where the establishment permit of a medical corporation, nonprofit corporation, quasi-governmental institution, regional medical center, or the Korea Veterans Health Service is revoked, or where it is dissolved

Or where the medical institution is one opened by a person not qualified to open a medical institution under the Medical Service Act

⑥ Long-term suspension of operations without a closure or temporary closure report

-> Where, while not engaging in any medical procedure for 6 months or more, a proper closure or temporary closure report is not made

⑦ Serious harm occurring due to a violation of the matters to be observed under the Medical Service Act

-> Where serious harm to a patient's life or body is caused by violating statutory matters to be observed, such as infection control

⑧ Collusive conduct

-> Where collusive conduct is engaged in by violating the Pharmaceutical Affairs Act

Pursuant to Article 64, Paragraph 2 of the Medical Service Act, a person whose establishment permit has been revoked or who has received a closure order may not newly establish or operate a medical institution for six months.

However, where a sentence of imprisonment without labor or heavier has become final for falsely claiming medical fees (falling under Paragraph 1, Item 8), the establishment and operation of a medical institution is prohibited for as long as three years.

Where a medical institution has received a closure order or a business suspension disposition, if there are inpatients, the Minister of Health and Welfare or the head of the relevant city, county, or district must take measures to protect the patients.

This includes measures to safely transfer the patients to another hospital, and the administrative authority intervenes directly so that the patients' treatment is not interrupted.

Such procedures are a minimum safeguard to ensure the patients' right to health and safety, and an institutional protection mechanism intended to prevent the disadvantages caused by an administrative disposition from being passed on to users of medical services.

A penalty surcharge is imposed according to the type and degree of the conduct constituting grounds for a hospital suspension of operations, and it may be imposed up to a maximum of 1 billion won.

For the same violation, a penalty surcharge may be imposed up to three times.

When imposing a penalty surcharge, the relevant administrative agency notifies the hospital in writing of the violation and the amount of the penalty surcharge, and the hospital that receives the notice must pay the penalty surcharge within the designated period.

If it is not paid, a compulsory collection procedure such as the disposition for arrears of local taxes may proceed.

If a penalty surcharge disposition under another statute has already been imposed for the same violation, the penalty surcharge may be mitigated or waived.

If you object to the result of the objection, you may file for administrative adjudication within 90 days from the date you became aware of the disposition or within 180 days from the date of the disposition.

The administrative appeals commission examines the legality and appropriateness of the disposition and renders a decision.

▶ Procedure

1. Submission of the written request for adjudication

Where a person intends to file for administrative adjudication, the petitioner must prepare a written request for adjudication and submit it to the respondent or the relevant administrative appeals commission.

At this time, duplicate copies must also be submitted according to the number of respondents.

2. Submission of the answer

Within 10 days from the date of receiving the written request for adjudication, the disposition agency prepares an answer setting out its position on the content of the request and submits it to the administrative appeals commission.

The submitted answer is also delivered to the petitioner, so that the petitioner can confirm the disposition agency's arguments.

3. Referral of the case

The disposition agency promptly forwards the written request for adjudication and the answer it has received to the administrative appeals commission so that the examination can proceed smoothly.

4. Conduct of the examination

Based on the materials received, the administrative appeals commission closely reviews the arguments of the petitioner and the disposition agency, sets an examination date, and examines the illegality and impropriety of the disposition. The result of the examination is notified to both sides.

5. Ruling and taking effect

Based on the content of the examination, the administrative appeals commission prepares a written ruling and serves it on the petitioner and the disposition agency, and the legal effect of the administrative adjudication arises from the time the written ruling is served.

If the result of the administrative appeal is not satisfactory, administrative litigation may be filed within 60 days from the date on which the written ruling on the administrative appeal is received.

The court makes the final determination on whether to revoke the disposition.

▶ Procedure

1. Filing the complaint

Administrative litigation begins with the filing of a complaint with the court. The complaint must be drafted to include the facts, the relief sought, and the grounds for the claim, and it must meet the required form, attached documents, service fees, and other requirements.

2. Submitting the answer

The defendant (usually the administrative agency) must submit an answer within 30 days from the date of receiving a copy of the complaint.

The answer includes rebuttals to the plaintiff's arguments along with related materials.

3. Organizing the issues (preparatory pleading date)

This is the procedure for clarifying both parties' arguments and the facts, and for distinguishing the disputed issues from the matters that are not in dispute.

In this process, the evidence and the plan of proof are organized, and where necessary, the parties may appear and make statements.

4. Full hearing (pleading date)

After the issues are organized, this is the date on which the actual examination of evidence and the statement of arguments take place.

Substantive proceedings, such as witness examination and the submission of documents, are conducted intensively. Depending on the nature of the case, the proceedings may move directly to this stage without organizing the issues.

5. Pronouncement of judgment and appeal

The court reads out the holding through the written judgment, and where necessary it may briefly explain the reasons for the judgment.

The judgment takes effect at the time of its pronouncement, and if a party objects, the party may submit a notice of appeal within 2 weeks from the date of receiving the written judgment and proceed to the appellate stage.