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R v North & East Devon Health Authority ex p Coughlan (decided by the Court of Appeal in July 1999) concerned Ms Coughlan, a severely disabled resident at the Mardon House nursing home. When she moved in she was promised that it was a "home for life". However later the health authority believed the home had become uneconomic and proposed to close it and move Ms Coughlan elsewhere.
The health authority believed that community care law changes had effectively transferred the provision of nursing care to social services departments from health authorities and that it was no longer empowered to provide or arrange general long term nursing care. So it decided it could break the promise to Ms Coughlan if it seemed reasonable taking economic factors and other patients' needs into account. The promise was seen as just one of a range of factors to consider
The consultation about the closure by the health authority with Ms Coughlan took place over a short period and important expert opinions were not shared with the residents. The health authority failed to identify an alternative placement for Ms Coughlan before deciding to close Mardon House and there had been only been medical and nursing assessment of her needs.
The Court of Appeal decided the case as follows: