Wednesday's lawsuit is the latest development in a heated national debate on the rights of transgender people in public spaces. Chicago Public Schools this week announced that transgender students will be able to use restrooms and locker rooms of their gender identity. Last month, a federal appeals court ruled in favor of a transgender student in Virginia who is seeking access to the boys restroom. Meanwhile, North Carolina recently adopted a law that limits public bathroom access for transgender people, though the U.S. Justice Department on said Wednesday that the law violates federal civil rights protections.