The U.S. Supreme Court on Friday announced that it would hear a case involving a transgender teen's fight to use the bathroom of his choice.

The Fourth Circuit Court of Appeals agreed with lawyers representing Gavin Grimm, a senior at Gloucester High School in Virginia, who argued that the school district's policy that prohibits transgender students such as Grimm from using the bathroom of their choice violates federal civil rights laws. Grimm came out in his sophomore year.

(Related: Gavin Grimm, transgender teen at center of bathroom debate: I'm not dangerous.)

In August, the Supreme Court put the decision on hold as the school board appeals the case.

Grimm's case is moving forward as the federal government advises school districts to allow transgender students to use the bathroom of their choice. But lawsuits filed by several states have blocked that policy.

North Carolina in March became the first U.S. state to expressly prohibit transgender people from using the public bathroom consistent with their gender identity. Passage of House Bill 2 has provoked a backlash from activists, the business community and the entertainment industry.

The Supreme Court is expected to hear arguments in Grimm's case sometime in early 2017.