In the case of Boy Scouts of America and Monmouth Council, et al. v. James Dale (1999), the U.S Supreme Court ruled in favor of the Boy Scouts, allowing them to exclude a homosexual scout leader. The court held that forcing the organization to accept gay leaders would violate its rights to freedom of expressive association under the First Amendment as it contradicts their belief that homosexuality is not morally straight. James Dale was an Eagle Scout and assistant scoutmaster who was expelled from his position when his sexual orientation became public knowledge through a newspaper article where he advocated for gay rights. He sued on grounds of violation against New Jersey's law prohibiting discrimination on basis of sexual orientation in places of public accommodation but lost at Supreme Court level with 5-4 majority ruling.

In the dissenting opinion for Boy Scouts of America v. James Dale, Justice John Paul Stevens argued that the decision to expel Dale due to his sexual orientation was a direct violation of New Jersey's public accommodations law. He contended that being openly gay did not affect Dale’s ability to perform his duties as an assistant scoutmaster and rejected the majority's assertion that homosexuality is inconsistent with Scout Oath and Law. Stevens emphasized that BSA had failed to demonstrate how admitting homosexual members would significantly burden its desire to express its values through activities or hinder its provision of youth services. Furthermore, he disagreed with the majority's view on expressive association rights, arguing it could potentially allow discrimination under guise of protected speech. The justice also noted inconsistencies in BSA’s policies towards homosexuality over time and across different troops, suggesting lack of clear organizational stance against homosexuality.