Who will win in the end, the state or the federal government?
North Carolina is suing the US Department of Justice over its attempts to bar the state from upholding its anti-LGBT “bathroom bill”.
The justice department had given the state a Monday deadline to respond to a letter demanding it abandon the controversial law.
The law violates federal civil rights protections, the department has said.
North Carolina could lose funding for state universities if it upholds the legislation.
The law invalidated several local anti-discrimination measures that protected gay and transgender people.
It also requires people to use public toilets that correspond to the sex listed on their birth certificates.