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If it is a private institution, they have no claim for a violation of the federal constitution - which only restricts government action. Private institutions can discriminate. State funds.
Spot on. But I think many people miss the irony of a group arguing that the state should stay out of their religious business while they petition to have the state fund their religious business.
Though I do believe if the group in question was Muslim, the Supreme Court would have ruled in their favor 9-0.
The only thing this case held was that the Christian group, if they chose to limit membership, could not use University money to fund their group. That's it. If they don't take the money, they can do whatever they want and discriminate until the second coming. Alas, they wanted the money.
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