LITTLE ROCK, Ark. (AP) — A federal appeals court has upheld an Arkansas law requiring state contractors to pledge not to boycott Israel.

The full 8th Circuit U.S. Court of Appeals on Wednesday reversed a decision last year by a three-judge panel of the court that found the requirement to be unconstitutional.

Arkansas Attorney General Leslie Rutledge expressed that the decision speaks to the state’s relationship with Israel.

“Today is a resounding victory for Arkansas’s anti-discrimination law and reinforces Arkansas’s relationship with our long-time ally, Israel,” Rutledge said.

The Arkansas Times newspaper had sued to block the law, which requires contractors with the state to reduce their fees by 20% if they don’t sign the pledge.

The court ruled that the requirement does not violate the First Amendment. The Times said a college refused to contract for advertising unless the newspaper signed the pledge.