The future of the McLaren Vale & Districts War Memorial Hospital site is up in the air following a decision in the Supreme Court.

The 21-bed hospital closed on 30 June 2023 after its board determined it was not financially viable to keep it open.

It proposed a merger with the James Brown Memorial Trust, which operates not-for-profit aged care provider Kalyra.

A group of McLaren Vale residents has been campaigning against the merger, objecting to ‘handing over’ a community asset.

This culminated in legal action against the board, led by Henry Davis, which has delayed the merger.

Kalyra had committed to maintaining all the services operating from the hospital site, except for the hospital itself.

A special general meeting of hospital members held in May 2023 fell just short of the 75 per cent vote required to approve the merger. At that stage there were 65 hospital members.

The board had signalled its intention to resign should the membership vote against the proposed merger, but instead called a further special general meeting for 4 July 2023.

This triggered a membership drive, which led to endorsement of the board’s decision to close the hospital and transfer the assets to James Brown Trust. 

On Monday 14 October the Supreme Court ruled in favour of Mr Henry Davis, Justice Bochner describing the conduct of the board between May and July 2023 as oppressive and unreasonable.

The Annual General Meeting of members of McLaren Vale & Districts War Memorial Hospital Incorporated will be held at Tatachilla Lutheran College on Wednesday 30 October.

There are currently around 700 hospital members.

Board chair Chris Overland has told ABC radio that he will step down from the position, following the Supreme Court decision. In a letter to members Mr Overland says the matter will return to Court on 6 November to deliver its orders. "The Board is taking advice on the decision and considering its implications."

Two new board members will be elected at the AGM; Henry Davis has nominated to join the board.

The full judgement can be read online.