Gailly was the site of the 39th and 13th Casualty Clearing Stations during the early part of 1917, and of the 41st Stationary Hospital from May 1917 to March 1918. The villages were then captured by the Germans, but were retaken by the Australian Corps in August 1918. Cerisy-Gailly Military Cemetery was begun in February 1917 and used by medical units until March 1918. After the recapture of the village it was used by Australian units. The cemetery was increased after the Armistice when graves were brought in from the battlefields of the Somme. The cemetery was designed by Sir Edwin Lutyens.
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