Over 300 people surrounded Seaton Hospital, where the CCG are proposing to close all 24 in-patient beds.
Residents heckled Neil Parish MP and after Paul Arnott offered £250 for judicial review of the decision, Parish agreed to match this.
Seaton mayor Marcus Hartnell said that the Town Council would formally seek advice on JR after a meeting on Monday at 6.30 to which the public are welcome.
Seaton GP Dr Mark Welland gave a moving speech pointing out that no GP in the area believes there will be any benefit to patients from the decision. The final speaker, Seaton councillor Martin Shaw, was cheered when he said that the local community had to go all out to fight the decision.