CaseNotes LogoCaseNotes
  • Home
  • Library
  • Research
  • Discussion Hub
  • Wiki
  • Latin Dictionary
  • Question Bank
  • Settings
S

Student

Student Account

South African Law • Jurisdictional Corpus
HomeLibraryResearchQuestionsSettings
Judicial Precedent
Ask AI

Minister of Health and Professor D McIntyre NO v New Clicks South Africa (Pty) Ltd and Others

CitationCCT 59/04; 2005 (2) SA 530 (CC)
JurisdictionZA
Area of Law
Constitutional LawAdministrative Law
Free account

Get the most out of this judgment

Create a free CaseNotes account to save this case, see how it's cited, get an AI summary, and search 10,000+ SA judgments.

Create free accountor sign in
Health Law
Pharmaceutical Regulation

Facts of the Case

The Minister of Health, on the recommendation of a Pricing Committee, promulgated regulations under section 22G of the Medicines and Related Substances Act to introduce a transparent pricing system for medicines. The regulations introduced a single exit price (SEP) for medicines and a capped dispensing fee for pharmacists. New Clicks and the Pharmaceutical Society of South Africa (PSSA) challenged these regulations, arguing that the dispensing fees would render pharmacies economically unviable, thereby undermining access to medicines. The Cape High Court dismissed the challenge with the majority upholding the regulations. On appeal, the Supreme Court of Appeal (SCA) declared the regulations invalid and of no force. The Minister and Pricing Committee appealed to the Constitutional Court.

Legal Issues

  • Whether the Promotion of Administrative Justice Act (PAJA) applies to ministerial regulation-making
  • Whether the procedures followed by the Pricing Committee and Minister complied with requirements of procedural fairness under PAJA
  • Whether specific regulations concerning single exit prices are void for vagueness or constitute unlawful delegations of power
  • Whether the dispensing fees set by the regulations are 'appropriate' as required by section 22G(2)(b) of the Medicines Act
  • Whether the regulations unjustifiably limit the right to freedom of trade, occupation and profession under section 22 of the Constitution

Judicial Outcome

The appeal was upheld in part. Various specific regulations were declared invalid but with reading-in and severance to cure defects. Regulations 10 and 11 (dispensing fees) were declared invalid and remitted to the Pricing Committee and Minister for reconsideration. Until new regulations are made, pharmacies may charge a dispensing fee. The Minister was ordered to republish the amended regulations within 60 days. The Minister was ordered to pay half the costs of the pharmacies in the Constitutional Court and High Court, and all costs in the SCA.

Ratio Decidendi

The binding legal principles established are: (1) The exercise of public power to make regulations constitutes administrative action subject to review under PAJA and the Constitution; (2) Administrative bodies making regulations must follow procedures that are fair, transparent and allow for meaningful public participation; (3) Regulations must be authorized by their empowering statute and must not improperly delegate powers; (4) Regulations must be sufficiently clear and certain to enable those bound by them to understand their obligations; (5) Where legislation requires a fee to be 'appropriate', this is an objective standard subject to judicial review, requiring a balance between competing interests (here, affordability of medicines and viability of pharmacies); (6) Decision-makers must properly consider all relevant factors and must be able to explain and justify their decisions, particularly where fundamental rights are affected; (7) The right to access health care services under section 27 of the Constitution authorizes and requires the state to take reasonable measures to make medicines affordable and accessible.

Obiter Dicta

Several judges made important observations: Chaskalson CJ noted that in a constitutional democracy, all public power must be exercised lawfully and subject to judicial scrutiny, and that the days of top-down government without accountability are over. Sachs J developed an extensive analysis distinguishing between administrative action (adjudicative decisions) and subordinate legislation (rule-making), suggesting the latter should be controlled through an expanded principle of legality rather than through PAJA. He emphasized that constitutional democracy requires both procedural (transparency, participation) and substantive (reasonableness, proportionality) controls on subordinate legislation. Ngcobo J emphasized that the viability of pharmacies is a relevant consideration in fixing dispensing fees because without pharmacies, access to medicines would be compromised. Moseneke J stressed the constitutional imperative to root out poverty and the importance of affordable medicines as part of poverty reduction and the well-being of all people. Multiple judges emphasized that the principle of 'status quo neutrality' should not be used to block transformation or freeze inequitable aspects of society.

Legal Significance

This is a landmark judgment on the scope of administrative law in South Africa. It clarified that: (1) The implementation of legislation, including regulation-making, constitutes administrative action subject to PAJA (majority view); (2) Courts have power to review regulations for lawfulness, reasonableness and procedural fairness; (3) The doctrine of legality requires that all public power be exercised lawfully and is subject to constitutional control; (4) Socio-economic rights, particularly the right to access health care services under section 27, impose positive obligations on the state to take reasonable measures to make medicines affordable and accessible; (5) Courts will scrutinize administrative decisions to ensure relevant considerations are properly taken into account; (6) Administrative bodies must provide adequate reasons and explanations for their decisions, particularly where they significantly affect rights. The judgment demonstrates the Court's careful balancing between deference to executive expertise in complex policy areas and robust constitutional review to protect fundamental rights.

Case relationship graph

Case Network

Explore 33 related cases • Click to navigate

Current Case
Related Case

Cases Cited in This Judgment

  • Ashok Rama Mistry v The Interim National Medical and Dental Council of South Africa and OthersCase CCT 13/97; heard 24 February 1998, decided 29 May 1998
    Cites

    Cited for purpose of Medicines Act in controlling quality and supply of medicines

  • Ashok Rama Mistry v The Interim National Medical and Dental Council of South Africa and OthersCCT 13/97; 1998 (7) BCLR 880 (CC); 1998 (4) SA 1127 (CC)
    Cites

    Cited regarding the purpose of the Medicines Act

  • Chief Direko Lesapo v North West Agricultural BankCCT 23/99
    Cites

    Cited for test of severability in constitutional cases

  • Coetzee v Government of the Republic of South Africa; Matiso v Commanding Officer, Port Elizabeth PrisonCCT 19/94 and CCT 22/94; 1995 (4) SA 631 (CC); 1995 (10) BCLR 1382 (CC)
    Cites

    Cited for test of severability in constitutional cases

  • Commissioner for the South African Revenue Service v Virgin Mobile South Africa (Pty) Ltd

Cited By 24 Cases

  • Allpay Consolidated Investment Holdings (Pty) Ltd and Others v Chief Executive Officer of the South African Social Security Agency and Others(CCT 48/13) [2013] ZACC 42
    Applies

    Applied for the principle distinguishing between invalidity of administrative action and the just and equitable remedy that follows; also cited for the…

  • Chirwa v Transnet Limited and Others(CCT 78/06) [2007] ZACC 23
    Applies

    Applied for the principle that section 33 and PAJA are designed to control the exercise of public power in a focused manner to protect individuals from unfair…

  • Commissioner for the South African Revenue Service and Others v Dragon Freight (Pty) Ltd and Others(751/21) [2022] ZASCA 84
    Cites

    Court cites for the jurisdictional requirement that leave to appeal must first be refused by the court below.

  • DRDGOLD Limited and Another v Nkala and Others(688/2016) [2023] ZASCA 9 (6 February 2023)
    Cites

    Cited for the proposition that the court's jurisdiction is derived only from the Constitution and statute.

Practice This Case

Sign up to practise IRAC analysis, issue spotting, and argument building on this case.

(1303/2023) [2025] ZASCA 77 (04 June 2025)
Cites

Cited for casting doubt on relying on Constitution where there is statutory provision without challenging constitutionality

  • Daniels v Campbell NO and OthersCCT 40/03; 2004 (5) SA 331 (CC); 2004 (7) BCLR 735 (CC)
    Cites

    Cited for requirement that PAJA must be construed consistently with the Constitution

  • Dawood and Another v Minister of Home Affairs and Others; Shalabi and Another v Minister of Home Affairs and Others; Thomas and Another v Minister of Home Affairs and Others2000 (3) SA 936 (CC); 2000 (8) BCLR 837 (CC)
    Cites

    Cited for the doctrine of vagueness based on the rule of law

  • Donald Veldman v The Director of Public Prosecutions (Witwatersrand Local Division)CCT 19/05 (Decided 5 December 2005)
    Cites

    Cited for principles of interpretation of 'includes'

  • DVB Behuising (Pty) Limited v North West Provincial Government and Another (Western Cape Provincial Government and Others Intervening)Case CCT 22/99, decided 2 March 2000
    Cites

    Cited for context of uneven development in South Africa

  • Executive Council of the Western Cape Legislature and Others v President of the Republic of South Africa and Others1995 (4) SA 877 (CC); 1995 (10) BCLR 1289 (CC); CCT 27/95
    Cites

    Cited for principle that Parliament can delegate subordinate legislative authority

  • Fedsure Life Assurance Ltd and Others v Greater Johannesburg Transitional Metropolitan Council and OthersCCT 7/98 [Decided on 14 October 1998]
    Cites

    Cited for propositions regarding administrative action and the making of laws by functionaries

  • Government of the Republic of South Africa and Others v Grootboom and Others2001 (1) SA 46 (CC); 2000 (11) BCLR 1169 (CC); Case CCT 11/00
    Cites

    Cited for principles of reasonableness in relation to realisation of socio-economic rights

  • Government of the Republic of South Africa v Thabiso Chemicals (Pty) Ltd(148/2007) [2008] ZASCA 112 (25 September 2008)
    Cites

    Cited for discussion of right to require discovery and reliance on section 32 of the Constitution

  • G Rudolph and Glynn Rudolph & Co (Pty) Ltd v Commissioner for Inland Revenue and Others NNOCCT 13/96
    Cites

    Cited for the wide import of the word 'any'

  • Hoffmann v South African AirwaysCase CCT 17/00 (decided 28 September 2000); reported as 2001 (1) SA 1 (CC); 2000 (11) BCLR 1211 (CC)
    Cites

    Cited for meaning of 'appropriate relief'

  • Ingledew v Financial Services Board(CCT 6/02) [2003] ZACC 5
    Cites

    Cited for prior occasion where question whether litigant can rely on Constitution without challenging statute was raised

  • Inkatha Freedom Party v The Electoral Commission(001/11) [2011] ZAEC 1 (20 April 2011)
    Cites

    Cited for casting doubt on relying on Constitution where there is statutory provision without challenging constitutionality

  • Law Society of the Northern Provinces v Mabando(736/10) [2011] ZASCA 122
    Cites

    Cited to confirm that the SCA is entitled to regulate its own process

  • Lilian Dudley v The City of Cape Town and Ivan TomsCCT 5/04
    Cites

    Cited for principles concerning review of administrative action under PAJA and the Constitution

  • Luke M Tembani and Others v President of the Republic of South Africa and Another(167/2021) [2022] ZASCA 70 (20 May 2022)
    Cites

    Cited for principle that all exercise of public power must be lawful and subject to judicial scrutiny

  • Minister of Health and Others v Treatment Action Campaign and Others (No 2)2002 (5) SA 721 (CC); CCT 8/02
    Cites

    Cited for principles of reasonableness in relation to measures to realise constitutional rights

  • Minister of Home Affairs v Eisenberg & AssociatesCCT 15/03 (decided 27 June 2003)
    Cites

    Left open whether making of regulations by a Minister constitutes administrative action for purposes of PAJA

  • Minister of Public Works and Others v Kyalami Ridge Environmental Association and Another2001 (3) SA 1151 (CC); 2001 (7) BCLR 652 (CC); Case CCT 55/00
    Cites

    Cited for principles of procedural fairness

  • National Education Health and Allied Workers Union v University of Cape Town and OthersCCT 2/02; 2003 (3) SA 1 (CC); 2003 (2) BCLR 154 (CC); (2002) 23 ILJ 95 (CC)
    Cites

    Cited for prior occasion where question whether litigant can rely on Constitution without challenging statute was raised

  • N K v Minister of Safety and Security2005 (6) SA 419 (CC) [also reported as 2005 (8) BCLR 661 (CC); Case CCT 52/04]
    Cites

    Cited for discussion of right to require discovery and reliance on section 32 of the Constitution

  • Pharmaceutical Manufacturers Association of SA: In re Ex parte President of RSA2000 (2) SA 674 (CC)
    Cites

    Cited for propositions relating to control of public power and administrative law

  • Pharmaceutical Society of South Africa and Others v The Minister of Health and Another; New Clicks South Africa (Pty) Limited v Dr Manto Tshabalala-Msimang NO and AnotherCase Nos 542/04 and 543/04
    Cites

    Cape High Court judgment refusing leave to appeal

  • Port Elizabeth Municipality v Various Occupiers2005 (1) SA 217 (CC); Case CCT 53/03
    Cites

    Cited for context of uneven development in South Africa

  • Prinsloo v Van der Linde and AnotherCCT 4/96; 1997 (3) SA 1012 (CC); 1997 (6) BCLR 759 (CC)
    Cites

    Cited for principle that all exercise of public power must be lawful and subject to judicial scrutiny

  • Rail Commuters Action Group and Others v Transnet Ltd t/a Metrorail and Others2004 CCT 56/03
    Cites

    Cited for discussion of constitutional control of public power and scope of public duties

  • SA Bank of Athens Limited v May van ZylCase No 431/03 (SCA, unreported judgment delivered 21 February 2005)
    Cites

    Cited for principles concerning the doctrine of vagueness and control of public power

  • Sunnyboy Edward Saane v Susan R. Hulme NO (Acting-Magistrate, Johannesburg Magistrates Court) and Minister of JusticeCCT 33/00
    Cites

    Cited for principle that PAJA must be construed consistently with the Constitution

  • S v Lawrence; S v Negal; S v Solberg[1997] ZACC 11; 1997 (4) SA 1176 (CC); 1997 (10) BCLR 1348 (CC)
    Cites

    Cited for requirement that exercise of power must be lawful and properly related to governmental purpose

  • The Benicon Group v National Union of Metalworkers of South Africa and 185 OthersCase No. 622/97 & 623/97
    Cites

    Cited regarding jurisdiction to grant leave to appeal

  • The City Council of Pretoria v WalkerCCT 8/97; 1998 (2) SA 363 (CC); 1998 (3) BCLR 257 (CC)
    Cites

    Cited for context of uneven development in South Africa

  • The National Director of Public Prosecutions v Victor N.O. and Others(756/2023) [2025] ZASCA 31 (31 March 2025)
    Cites

    Cited for requirement that PAJA must be construed consistently with the Constitution

  • The Premier, Province of Mpumalanga v Executive Committee of the Association of Governing Bodies of State-Aided Schools: Eastern TransvaalCCT 10/98
    Cites

    Cited for principles of procedural fairness

  • The President of the Republic of South Africa and Others v South African Rugby Football Union and Others (Recusal Application)CCT 16/98 (Judgment delivered 4 June 1999)
    Cites

    Cited for test for determining whether conduct constitutes administrative action and for constitutional controls of public administration

  • The State v Sipho Zakele NtseleCCT 25/97 (decided 14 October 1997)
    Cites

    Cited for requirement that statutes be construed consistently with the Constitution

  • The Western Cape Minister of Education and Others v The Governing Body of Mikro Primary School and AnotherCase No 140/05
    Cites

    Cited for requirement of lawful exercise of power and control of public power

  • Gaone Jack Siamisang Montshiwa (Ex Parte Application)(Case no 672/2021) [2023] ZASCA 19 (3 March 2023)
    Cites

    Cited for the principle that the purpose of leave to appeal thresholds is to regulate the appeal process for the court's benefit and that granting leave where…

  • King N.O. and Others v De Jager and Others[2021] ZACC 4
    Cites

    This Court held that ordinarily the terms 'including' or 'includes' are not terms of exhaustive definition but terms of extension.

  • Lynette Mary Roux v Health Professions Council of South Africa and Oliver Michael Powell(786/2010) [2011] ZASCA 135
    Cites

    Cited for the proposition that the constitutional principle of legality is applicable even when the action in question is an exercise of public power that does…

  • Minister of Defence and Military Veterans v Motau and Others[2014] ZACC 18
    Applies

    Applied to interpret the definition of administrative action in PAJA and the deliberate exclusion of section 85(2)(a) of the Constitution

  • Minister of Environmental Affairs and Tourism v Kenneth George(437/2005) [2006] ZASCA 57
    Cites

    Cited at para 22 for the principle that the Supreme Court of Appeal's jurisdiction to hear appeals from the high court is conditioned by the provisions of the…

  • National Director of Public Prosecutions v Rajan Naidoo and Others(419/09) [2010] ZASCA 143 (25 November 2010)
    Cites

    Cited for the proposition that judicial delays frustrate litigants and that judges have an ethical duty to give judgments promptly, and parties are entitled to…

  • National Union of Mineworkers and Motlhoki & Others v Mazista Tiles (Pty) Ltd(507/04) [2005] ZASCA 116 (23 November 2005)
    Cites

    Cited for the proposition that where leave to appeal is required, the critical time at which it must exist is when judgment is delivered in the appeal.

  • Nature's Choice Properties (Alrode) (Pty) Limited v Ekurhuleni Metropolitan Municipality(487/08) [2009] ZASCA 90
    Cites

    Cited for the proposition that regulatory power conferred through enabling legislation is constrained by the need to stay within well established boundaries…

  • New Nation Movement NPC and Others v President of the Republic of South Africa and Others[2020] ZACC 11
    Cites

    Cited for the proposition that the word 'includes' in a statute ordinarily extends rather than restricts meaning.

  • Nutrichem (Pty) Ltd v Southern African Clothing and Textile Workers Union and OthersLAC Case no: JA 47/2023; (2025) 46 ILJ [to be confirmed]
    Cites

    Cited for the proposition that parties should rely on provisions of the LRA to vindicate their right to fair labour practices.

  • Polovin v The Director of Public Prosecutions, Western Cape and Others(1230/2022) [2024] ZASCA 140 (17 October 2024)
    Cites

    Cited for the proposition that the exercise of all public power must comply with the doctrine of legality.

  • Poverty Alleviation Network and Others v President of the Republic of South Africa and Others(CCT 86/08) [2010] ZACC 5
    Cites

    Cited for the principle that procedures chosen to fulfil public participation obligations must be reasonably related to the material to be considered.

  • Savoi and Others v National Director of Public Prosecutions and Another[2014] ZACC 5
    Cites

    Cited for the rule on the use of the word 'including' in a statute, indicating that lists are not exhaustive.

  • Shabangu v Land and Agricultural Development Bank of South Africa and Others[2019] ZACC 42
    Follows

    Cited to support the principle that the exercise of all public power is subject to the principle of legality.

  • Snyders v De Jager(20469/2014) [2015] ZASCA 137
    Applies

    Applied to support the proposition that this court's jurisdiction is determined by the Constitution and statute and it cannot assume jurisdiction not conferred…

  • Social Justice Coalition and Others v Minister of Police and Others[2022] ZACC 27
    Applies

    Cited for the court's ethical and constitutional duty to give judgment or any ruling in a case promptly and without undue delay; also cited for the principle…

  • Steenkamp NO v The Provincial Tender Board of the Eastern CapeCase CCT 71/05; 2006 (3) SA 151 (SCA)
    Cites

    Cited for the principle that the exercise and control of public power is always a constitutional matter.

  • The Clicks Group Ltd and Others v The Independent Community Pharmacy Association and Others(644/2020) [2021] ZASCA 167 (3 December 2021)
    Applies

    Applied to recognise that the right to have access to health care services enshrined in section 27 of the Constitution embraces the right to access quality and…

  • The State and Minister for Justice and Constitutional Development v Acting Regional Magistrate, Boksburg: Mr Phillip Venter and Lucas Van Der Merwe(CCT 109/10) [2011] ZACC 22
    Follows

    This Court approved the rule from Venter v R that a court may depart from clear statutory language where it would lead to glaring absurdity or a result…

  • TMT Services & Supplies (Pty) Ltd t/a Traffic Management Technologies v MEC: Department of Transport, Province of KwaZulu-Natal and Others(1059/2020) [2022] ZASCA 27 (15 March 2022)
    Applies

    Applied for the proposition that one cannot avoid the provisions of PAJA by going behind it and that PAJA was required to cover the field and purports to do so.

  • Explore More Cases

    More Constitutional Law cases

    • (1) Petros Makaza (2) Golden Nhika v The State and (1) Khumbuzo Gumbo (2) Sydney Ndachengedzwa v The StateCCZ 16/17 (Const. Application No. CCZ 5/13 and Const. Application No. CCZ 102/13)
    • (1) Tungamirai Madzokere (2) Lazarus Maengahama (3) Stanford Maengahama (4) Phineous Nhatarikwa (5) Stanford Mangwiro (6) Yvonne Musarurwa (7) Rebecca Mafukeni v The StateSC 8/12; Civil Application No. 318/11
    • 68 Wolmarans Street Johannesburg (Pty) Ltd and Others v Tufh Limited(1263/2022) [2024] ZASCA 48 (15 April 2024)
    • AAA Investments (Proprietary) Limited v The Micro Finance Regulatory Council and Another2006 (11) BCLR 1255 (CC) (also reported as CCT 51/05)
    • Aaron Musiteyi v The StateHMT 2-21, B 09/21
    • Abahlali baseMjondolo Movement SA and Another v Premier of the Province of KwaZulu-Natal and Others(CCT 12/09) [2009] ZACC 31
    • AB and Another v Minister of Social Development[2016] ZACC 43
    • AB and Another v Pridwin Preparatory School and Others[2020] ZACC 12

    More South Africa cases

    • 3M South Africa (Pty) Ltd v The Commissioner for the South African Revenue Service(272/09) [2010] ZASCA 20 (23 March 2010)
    • 4 Seasons Logistics CC v Kgotse(1215/2023) [2026] ZASCA 09 (04 February 2026)
    • 4 Seasons Logistics CC v Nicholas Ngwanammoto Kgotse(1215/2023) [2026] ZASCA 09 (4 February 2026)
    • 4-Tune Investments (Pty) Ltd v Kingsgate Body CorporateCSOS 4565/WC/22 (Adjudication Order, 29 November 2023)
    • 68 Wolmarans Street Johannesburg (Pty) Ltd and Others v Tufh Limited(1263/2022) [2024] ZASCA 48 (15 April 2024)
    • 9 on Rydal Vale Court Body Corporate v Pan African Holdings Pty LtdCSOS-4563/KZN/23 (Adjudication Order, 8 November 2023)
    • AAA Investments (Proprietary) Limited v The Micro Finance Regulatory Council and Another
    2006 (11) BCLR 1255 (CC) (also reported as CCT 51/05)
  • A A Alloy Foundry (Pty) Limited v Titaco Projects (Pty) LimitedCase No. 309/97