A hearing is scheduled for next Tuesday for a lawsuit objecting the sale of Northwest Florida Community Hospital in Chipley.
A citizens group sued to halt negotiations for the sale between Washington County commissioners and Pensacola based Sacred Heart Health Systems.
Commissioners voted to sell the hospital because it has been a financial drain on the county.
Sacred Heart agreed to operate the hospital after buying it for one dollar but also wants the county to pay more than $3 milion to upgrade the hospital.
The citizens group says another bidder, Georgia based Resurgence Health Group offered $4 million for the hospital and to pay for the upgrades itself.