This was just waiting to happen, and I'm glad it did.
Yahoo! News - Pledge Ruled Unconstitutional
The appeals court noted that the U.S. Supreme Court has said students cannot be compelled to recite the pledge. But even when the pledge is voluntary, "the school district is nonetheless conveying a message of state endorsement of a religious belief when it requires public school teachers to recite, and lead the recitation of, the current form of the pledge."