Press Release 7 of 2021: Constitutional Court dismisses leave to appeal for Compcare
The Constitutional Court dismissed a leave to appeal application by Compcare Wellness Medical Scheme to change its name to that of its administrator, Universal.
Compcare submitted a rule amendment to the Council for Medical Schemes (CMS), requesting a name change to Universal Medical Scheme. The Registrar of Medical Schemes declined this amendment, arguing that this name would cause confusion to medical scheme members and affect the separation principles expected between medical schemes and their administrators. The Pretoria High Court agreed with the Registrar, ruling in CMS’ favour in December 2019.
The CMS believes that the name of a medical scheme and that of its administrator should be clearly distinguishable so as not to mislead the public and cause confusion on the nature of the scope and accreditation status of the two entities involved.
In August 2020, Compcare approached the Supreme Court of Appeal, which dismissed the appeal with costs. As a last resort, Compcare approached the Constitutional Court, which also on 22 July 2021 dismissed the leave to appeal application.
The CMS is committed to protecting the interests of medical scheme members by ensuring that they can easily differentiate between a medical scheme and an administrator.
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