North Carolina’s governor quietly dropped a lawsuit asking the federal court to preserve the state’s HB2 law. The state is also trying to make a deal to repeal the law altogether.

Governor Pat McCrory, dropped the federal lawsuit citing “substantial costs to the state,” along with the “interests of judicial economy and efficiency.” North Carolina’s economy has taken a hit recently with the NBA’ removal of their all star along with the NCAA and ACC removing their championships from the state. This all comes in response to the HB2 law, which forces transgender citizens to use restrooms that correspond with the gender they were assigned at birth. The state has also seen boycotts from business giants such as PayPal along with music acts such as Pearl Jam, Ringo Starr and Bruce Springsteen.

The state is also in the midst of another lawsuit where the American Civil Liberties Union (ACLU) challenged the constitutionality of the HB2 law. There is also no word yet whether the federal government will withdraw its counter suit to HB2.

Charlotte Mayor Jennifer Roberts (Photo Credit: Melissa Key –

On Monday, McCrory said he would call a special session to repeal the HB2 law altogether if the Charlotte City Council acted to repeal the non-discrimination ordinance it passed back in February 2016. The non-discrimination law granted transgender protections to the city of Charlotte. The proposed “compromise” originally came from legislators and the North Carolina Restaurant and Lodging Association. Unfortunately for McCrory, the Charlotte City Council rejected the governor’s proposal.

Charlotte Mayor Jennifer Roberts announced the city would not be making any changes while releasing the following statement:

“The City of Charlotte continues its commitment to be a welcoming community that honors and respects all people. We appreciate the state wanting to find a solution to the challenges we are facing and applaud the governor for recognizing the state should overturn HB2, which the state can do at any time without any action from the City of Charlotte. We are not prepared to add this item to our agenda this evening, however, we urge the state to take action as soon as possible and encourage continued dialogue with the broader community.”

Governor McCrory also released a statement regarding the decision:

“Despite offering a very reasonable solution and compromise for North Carolina, it’s obvious that (Washington) D.C. special interest political pressures on elected Charlotte city officials — and even our own attorney general — again derailed common sense,” McCrory said. “It’s time to respect our constitutional process and recognize how our cities, state and federal government define gender in the future will most likely be decided by the U.S. Supreme Court.”

It appears North Carolina’s HB2 law may be in the twilight of its existence. The backlash has been proven costly to the state. It also continues to affect McCrory’s re-election campaign as he continues to fall further behind in the polls.