This chapter provides an overview of recent school finance litigation at the local, state, and federal levels. The first section addresses legal challenges to state school finance systems and reviews decisions from Arkansas, California, Colorado, Georgia, Michigan, New York, and West Virginia. Litigation attacking states' methods of funding public schools is based on state constitutional equal protection guarantees and/or education clauses. Questions raised in these cases relate to issues of equity, adequacy, local control, expenditure disparities, minimum level of education, equality of educational opportunity, and appropriateness of program. The next section examines local fiscal issues, including litigation prompted by school board decisions affecting areas such as transportation, length of school week, summer school, and tuition charges. The third section addresses controversial issues at the federal level: (1) the authority of the federal government to recover misspent Title I funds; (2) an order by a federal district court judge freezing Department of Education funds on account of the federal government's failure to provide financial assistance for Chicago's desegregation plan; and (3) federal aid under the Payment in Lieu of Taxes Act. The fourth section addresses the issue of public financial support for nonpublic schools, including tuition tax deductions, transportation aid, and textbooks. A common issue underlying school finance litigation at all levels of governemnt is sufficiency or adequacy of revenue. (TE)