The issue over student transfers in Hearne and Mumford was presented to the 5th Circuit Court of Appeals on Tuesday.
Arguments were heard by the 3 judge panel in Houston. Hearne's school district is suing Mumford and the Texas Education Agency because they say they're losing too many white students to Mumford schools.
Back in August, a federal judge ruled in favor of Hearne citing a desegregation rule he authored and ordered all white transfers back to Hearne.
The court is expected to make a decision by the end of this year.