"We do have a decision and from what I understand it's a positive decision," said Kamehameha Schools Chief Executive Officer Dee Jay Mailer. "We're delighted, so delighted."

Attorneys John Goemans and Eric Grant, who brought the lawsuit against against the school, hope the Supreme Court will agree to hear the issue before the high court goes into its spring recess early next year.

A 15-member judge panel of the 9th U.S. Circuit Court of Appeals voted 8-7, siding with the private school's argument that its admissions policy does not violate federal law.

"That (the one-vote margin) tells me this is a very close case that is going to go to the U.S. Supreme Court," Grant said from his office in Sacramento, Calif.

"Obviously, we would rather been on the eight-vote side of things, but it is gratifying to us that seven of the judges understood our position," Grant said.

He and Goemans will have 90 days to apply to the Supreme Court to hear the matter, Grant said, estimating that a request could be filed with in about half than time.

"There is no particular rush anymore since the student (on whose behalf the challenge was filed) has already graduated from high school," Grant said.

He said he has always believed the case would ultimately be heard before the high court.

"Just this past week, the Supreme Court heard oral arguments involving race issues in elementary and secondary schools," Grant said. "As the dissenting (9th Circuit) judges recognize, the majority decision by the eight other judges is not consistent with prior Supreme Court rulings."

Grant last argued an unrelated case before the Supreme Court about a month ago.

The Kamehameha Schools was established under the 1883 will of Princess Bernice Pauahi Bishop as part of a trust now worth about $6.8 billion.

Part of the school's mission is to counteract historic disadvantages Native Hawaiians face in employment, education and society.The trust subsidizes tuition and is designed to reverse the economic and educational plight of Native Hawaiians and to help remedy some of the wrongs done during the U.S.-backed overthrow of the Hawaiian kingdom in 1893.

The nation's largest federal appeals court rehears cases with larger panels, if the judges agree to do so.