Kadima acting chairman for the March elections. Kadima won 29 seats, and was asked to form a government by president Moshe Katsav. Olmert formed a coalition with Labor, Shas and Gil, the government being sworn in on 4 May. Yisrael Beiteinu joined the coalition in October 2006, but left again in January 2008 in protest at negotiations with the Palestinian Authority. Olmert resigned as party leader in 2008, resulting in a leadership election, held on 17 September. The vote was won by Tzipi Livni, who beat Shaul Mofaz, Meir Sheetrit and Avi Dichter. Following her victory, Livni failed to form a
Meretz new chairman. On 22 December 2008, Meretz finalized its merger with Hatnua HaHadasha ("The New Movement") for the 2009 Israeli elections. The joint Meretz-Hatnua HaHadasha list ended up winning only 3 seats in the elections. This electoral loss was largely attributed to traditionally left-wing voters choosing to strategically vote for Kadima, in an effort to get Tzipi Livni to head the next government instead of Benjamin Netanyahu of Likud. Following the party's failure in the 2009 legislative elections, some of the party members called for the resignation of the party chairman Haim Oron and to give way for Zehava Gal-On.