US Justice Department: North Carolina's 'bathroom law' violates the Civil Rights Act

Officials from the US Justice Department notified North Carolina Gov. Pat McCrory that his state's so-called "bathroom law" violates the US Civil Rights Act, according to The Charlotte Observer.

The law in question prevents local governments in North Carolina from passing non-discrimination ordinances, and banned transgender people from using the bathroom that corresponds with their gender identity.

It quickly swept through state legislature in a one-day special session in March and was signed by McCrory hours later, sparking a national backlash from business leaders and LGBT activists.

According to the Observer, the justice department's letter says the state's law violates Title IX, which outlaws discrimination in education based on sex.

State officials have until Monday to confirm "that the State will not comply with or implement" the law.

Since its signing, the law has received fierce opposition from businesses around the country. PayPal and Deutsche Bank both froze major expansions in the state in April, costing the state 650 jobs. The NBA has threatened to move the 2017 All-Star Game from Charlotte if the law remains unchanged, and the NCAA has said the law jeopardizes the state's chances of hosting future events, including the men's basketball tournament.

Several entertainers, including Bruce Springsteen, Pearl Jam and Ringo Starr, have canceled performances in the state in protest of the law.