State exit exams, also known as graduation tests, are tests that student must pass to graduate from high school. These tests are more influential than ever. Accordingly, in 2004, 20 states required students to pass an exit exam to graduate from high school, and six additional states will implement an exit exam by 2009. This affects more than half of all public school students (52%), and even more minority public school students (55%) currently live in states with exit exam requirements. Nationwide, parents have resorted to the use of civil litigation to express their disapproval and opposition to graduation tests. Adversaries of high-stakes tests have also argued that leaving students without a diploma due to discriminatory tests does even more harm to African American and Hispanic students, who are often educated in the worst available schools. Nationwide public protests against high-stakes testing have been based on the public's displeasure with a system that places labels on low-performing schools and children, potentially increases the dropout rate, places a greater emphasis on teaching for rote memorization, places pressure on young children to perform, and by default devalues the subject areas that are not a part of high school graduation tests. This article provides a historical overview of the law and regulations related to the use and implementation of graduation tests, and it also provides a national perspective of their prevalence and status across the nation. Amid expanding school competition and increasing school choice options for parents and students, the prevalence, legality, and use of graduation tests should be of interest to school leaders tasked with monitoring graduation rates and student achievement levels. (Contains 2 tables.)