A proposal to close the Abbeyleix Community Nursing Unit in Co Laois has been quashed, the High Court has been told, to allow a period of consultation with residents and medical staff.
Three residents of the home had taken legal action challenging the decision to close the facility.
Maureen Delaney, 89, Bridget O'Neill, 92, and Catherine Kelly, 93, were granted permission by the court last month to challenge the closure.
However, the High Court was told this morning that the matter had been settled.
Peter Finlay SC, acting for the Health Service Executive, told the court the proposed order to shut the facility had been quashed.
He said a 12-week period of consultation would now begin.
He said it would be a "real and meaningful process of engagement".
The Abbeyleix Hospital Action group has said the 12-week period of consultation with the residents of the hospital and their families will not start until Minister for Health James Reilly visits the facility and meets them there.
Spokesperson Gary O'Keefe said the scope for the consultation process would also have to be agreed with the HSE.
He welcomed the confirmation in the High Court, but again outlined concern over the withdrawal of beds from the unit in Abbeyleix before the consultation process even began.
The HSE said it will inform the residents and their families when the consultation process is formalised.
