California Court Strikes Down Parts of Diwali Holiday Law

A California court has struck down parts of the state's landmark Diwali holiday law, less than a year after the festival was officially recognised as a state holiday, according to the Hindu American Foundation (HAF). The ruling centres on how the legislation described Diwali's religious significance, rather than its broader aim of allowing students and employees to observe the festival without having to choose between their faith and their responsibilities, HAF said.

California formally recognised Diwali as a state holiday in October 2025 after Governor Gavin Newsom signed legislation introduced by Assembly member Ash Kalra. The move made California the third US state, after Pennsylvania and Connecticut, to officially recognise the festival. The law did not make Diwali a mandatory paid public holiday. Instead, it allowed eligible state employees to use paid leave to observe the festival, while giving public schools and community colleges the option to close for the occasion.

HAF said the court's decision challenges the wording of the legislation rather than its underlying purpose. "The ruling focused on the wording of the law describing Diwali's religious significance, rather than the practical purpose of the holiday," the organisation said. The group added that it is monitoring the case and will continue to support efforts to ensure that members of the Hindu American community can observe Diwali.

Diwali, widely known as the Festival of Lights, is celebrated by millions of Hindus, Sikhs, Jains and Buddhists worldwide. California is home to the largest Indian American population in the United States, making the festival's official recognition particularly significant for many residents.