The Seventh Circuit Court of Appeals, in Chicago, ruled, 8-3, that sexual orientation discrimination in the workplace does violate federal civil rights law (Title VII of the Civil Rights Act ) as it is a form of sex discrimination. The Indianapolis Star has one of the most detailed accounts of the opinions, the majority written by Diane Wood. The case involved South Bend IB resident Kimberly Hively and her employment dispute at a tech college. Judge Richard Posner argued differently in a concurring opinion, as he talked about interpretive context (as if to weigh in on the Gorsuch nomination, or to bulletproof the decision from a more "orginalist" court).
This en banc decision reverses a previous 2-1 loss; here is the Opinion at Lambda Legal.
As this conflicts with a ruling from the 11th Circuit, (Atlanta) it is likely to wind up in the Supreme Court with a 5-4 “conservative” majority, but Kennedy and maybe Roberts could be hard to predict.
CNN has a similar story here.