The Alabama Education Association sued over the legislation, and Montgomery County Circuit Judge Charles Price temporarily blocked the governor from signing the bill.
The Alabama Supreme Court ruled Wednesday the lawsuit is premature and ordered it dismissed. AEA attorney Bobby Segall said the court indicated the suit should be filed after the governor signs the bill, and that's what AEA intends to do.
The bill provides tax credits for parents who choose to enroll their children in private schools rather than failing public schools.
Senate President Pro Tem Del Marsh called the decision a victory for students attending failing schools.