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The university didn’t admit any black students until 1971, 17 years after Brown vs. It then wouldn’t admit any students who were in a mixed-race marriage and created rules to prohibit students from interracial dating.
The case rose to the Supreme Court, which ruled in 1983 that the IRS could revoke the university’s tax-exempt status because the government’s interest in eradicating racial discrimination from education overrode the university’s First Amendment rights to religious free speech.
The case has been cited many times through the years.
Most recently, it arose in an exchange before the Supreme Court in the Obergefell vs. After that decision, the IRS commissioner said the agency would not target the tax-exempt status of religious institutions that oppose gay marriage.
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In his first meeting with the university’s Cabinet, Pettit said he believed it was appropriate for BJU to seek its tax-exempt status because the university doesn’t believe the positions it once held about race.
The issue in the court case was the university’s refusal to allow interracial dating or marriage among students, staff or faculty of the university, a rule it has since abandoned.