The supplement to an earlier edition provides information on case developments relating to the labeling and grouping of both normal and exceptional children for educational treatment. Case summaries and notes are divided into five sections (sample topics are in parentheses): exclusion of exceptional children (the handicapped child's right to an education at the state's expense and class action on behalf of the handicapped), exclusion of normal children (sex discrimination and disciplinary exclusion), procedural safeguards (due process hearings, cases on testing, confidentiality of records, and behavior modifying drugs), inadequate programs (bilingual cases, inadequate programs for handicapped children, and the failure to teach basic academic skills in regular classes), tracking (ability grouping practices), and federal law (the Rehabilitation Act of 1973, federal assistance to states for educating handicapped children, and the Education for All Handicapped Children Act--Public Law 94-142). (SBH)