A San Francisco law firm opened its fellowship to all students after facing a lawsuit alleging discrimination.

The American Alliance for Equal Rights (AAFER) filed a lawsuit Aug. 22 challenging the "diversity fellowships" offered by the international law firm Morrison & Foerster LLP.

AAFER is led by Edward Blum, the activist behind the Supreme Court case that banned affirmative action in college admissions.

AAFER’s lawsuit challenges the Morrison & Foerster firm's Keith Wetmore 1L Fellowship for Excellence, Diversity, and Inclusion for discriminating against certain applicants based on their race as it seeks to include underrepresented groups, a document describing the fellowship on the firm’s website states.

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Judge holding gavel

The lawsuit against Perkins Coie LLP was filed in the United States District Court for the Northern District of Texas. The lawsuit against Morrison & Foerster was filed in the United States District Court for the Southern District of Florida. (Getty Images)

However, as first reported by the Washington Free Beacon, eight days after Blum’s lawsuit was filed, Morrison & Foerster removed the race and sexual orientation criteria on the application.

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The fellowship is now open to all law students with a "demonstrated commitment to promoting diversity" who "bring a diverse perspective to the firm." 

"The capitulation suggests that Morrison & Foerster, one of the country’s top law firms, is unwilling to go through the hassle of defending its race-based initiatives now that the legal winds have shifted. A day after the High Court’s decision, Morrison advised clients to take stock of their diversity programs and eliminate ‘unlawful preferences’ like ‘quotas or set asides,’" The Washington Free Beacon reported.

Morrison & Foerster did not immediately respond to Fox News Digital's request for comment.

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The American Alliance for Equal Rights is led by Edward Blum, the activist behind the Supreme Court case that banned affirmative action in college admissions.

Although Morrison & Foerster scrapped any reference to race or sexual orientation on their application, another law firm, Perkins Coie LLP, will defend its fellowship from an AAFER lawsuit.

Since the fellowship was limited to "students of color," "students who identify as LGBTQ+," or "students with disabilities," AAFER alleges the fellowship violates the Civil Rights Act of 1866, 42 U.S.C. §1981.

When Blum filed the lawsuit in August, he released a statement, "Excluding students from these esteemed fellowships because they are the wrong race is unfair, polarizing and illegal. Law firms that have racially-exclusive programs should immediately make them available to all applicants, regardless of their race."

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Blum added, "In dozens of polls, nearly 75-percent of all Americans, including majorities of blacks and Hispanics, believe a job applicant's race should not be a factor in hiring or promotion decisions. These law firms are fostering policies that diminish individuals' unique qualifications and accomplishments."

The Supreme Court building

The U.S. Supreme Court handed down a major ruling on affirmative action in June, rejecting the use of race as a factor in college admissions as a violation of the 14th Amendment's Equal Protection Clause. (AP Photo/J. Scott Applewhite, File)

Blum concluded, "Race and ethnicity are attributes, not accomplishments. It is the hope of this organization, as well as most Americans, that these law firms end these racial restrictions and open these fellowships to all qualified applicants."

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This comes after the U.S. Supreme Court handed down a major ruling on affirmative action in June, rejecting the use of race as a factor in college admissions as a violation of the 14th Amendment's Equal Protection Clause.