California sues Trump administration to protect privacy of trans students

US president Donald Trump.

California has filed a lawsuit against the US Department of Education and the federal government, challenging a threat to withhold approximately $4.9 billion in annual education funding over the state’s law prohibiting the forced outing of transgender students.

State Attorney General Rob Bonta filed the suit in the U.S. District Court for the Northern District of California, arguing that the federal government has misapplied the Family Educational Rights and Privacy Act (FERPA).

US District Judge Noël Wise granted a temporary restraining order the same day the complaint was filed, blocking the federal government from withholding funds while the case proceeds.

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The dispute centres on Assembly Bill 1955, signed into law in 2024, which bars schools from requiring staff to disclose a student’s gender identity to parents without the student’s consent.

The US Department of Education initiated an investigation into whether California’s policies violate FERPA, a federal law governing access to student education records.

Federal officials have demanded several “corrective actions”, including assurances that school districts may adopt parental notification policies, and warned that failure to comply could result in the loss of all federal funding.

In its complaint, California argues that FERPA does not require schools to affirmatively disclose a student’s gender identity or pronouns to parents absent a valid records request, and that the federal government has not identified any instance in which the state failed to comply with the law.

The lawsuit seeks a declaration that the demanded corrective actions are unlawful and requests preliminary and permanent injunctions to prevent the withholding of funds.

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The temporary restraining order will remain in effect until the court resolves the merits of the case.

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