This section contains the nature of the case and procedural background.

In January of 1994, D filed an application for a Certificate of Need to add a sixth cardiac catheterization laboratory to its five duly approved cardiac catheterization laboratories already in operation. In December 1994, D withdrew its application for a Certificate of Need. D asserted it was not required to obtain a Certificate of Need for a sixth cardiac catheterization lab according to a recent decision in a similar case in the Franklin Circuit Court interpreting KRS 216B.061(1)(d) and KRS 216B.015(20). P advised D that it was maintaining its position that a Certificate of Need was required and that its reliance on the other case was misplaced since it was on appeal to the Court of Appeals. On December 22, 1994, D wrote back and said it was going forward. P issued a Notice for a Show Cause Hearing and an Order to Appeal. After the hearing P ordered D to immediately cease and desist any construction or planning associated with the sixth cardiac catheterization lab without a Certificate of Need and further ordered Jewish Hospital to pay $10,000 in fines for willfully violating the provisions of Chapter 216B. D appealed to the Franklin Circuit Court which reversed the order of P. P appealed.

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