The fraternity's revival marks the largest Greek organization expansion in five years.
Phi Sigma Kappa and Sigma Alpha Mu fraternities had not been allowed to host events.
L.A. Superior Court rejected that USC’s policy violated constitutional rights.
This discipline measure follows the suspension of four other fraternities this school year.
After being suspended Friday, Phi Sigma Kappa cannot host events or fundraisers.
Sigma Alpha Mu and Phi Sigma Kappa were put on interim suspension Friday.
The policy will prevent incoming freshmen from rushing during their first semester at the University.
Posters at the party depicted phrases such as “For the Culture” and “Jemimah.”
Photos from the party show posters, graffiti with racially charged phrases.
In response to criticism for lack of diversity, the Greek community is working to battle the image of exclusivity.