 In 1969 , the American Civil Liberties Union ( representing three clergymen , an atheist , and a leader of the American Ethical Society ) , tried to block the construction of a nativity scene on the Ellipse in Washington , D.C. When the ACLU claimed the government sponsorship of a distinctly Christian symbol violated separation of church and state , the sponsors of the fifty @-@ year @-@ old Christmas celebration , Pageant of Peace , who had an exclusive permit from the Interior Department for all events on the Ellipse , responded that the nativity scene was a reminder of America 's spiritual heritage . The United States Court of Appeals ruled on December 12 , 1969 , that the crèche be allowed that year . The case continued until September 26 , 1973 , when the court ruled in favor of the plaintiffs and found the involvement of the Interior Department and the National Park Service in the Pageant of Peace amounted to government support for religion . The court opined that the nativity scene should be dropped from the pageant or the government end its participation in the event in order to avoid " excessive entanglements " between government and religion . In 1973 , the nativity scene vanished . 
