- A well meaning but burned-out high school teacher tries to maintain order against the backdrop of a pending lawsuit against his school district when it comes to light they gave a diploma to an illiterate student.
- A teacher overcomes his frustration in a high-school full of flunkies. As he attempts to educate his students, his attempts to help them gets him into trouble with the school board, which only adds to his problems. With the support of his students he beats the school board and his frustration.—K. Rose <rcs@texas.net>
- At John F. Kennedy High School in the inner city slums of Columbus, Ohio, Vice Principal Roger Rubell (Judd Hirsch) juggles several problems on a cold winter Monday morning, including a student with a stab wound, lack of substitute teachers, and a school psychologist who goes berserk. Moreover, attorney and Kennedy High alumna, Lisa Hammond (JoBeth Williams), arrives to give Rubell notice about depositions scheduled for tomorrow. Lisa represents a former student named John Calvin, who is suing the school for graduating him without being able to read or write. Infuriated about the psychologist incident and the Calvin case, school superintendent Dr. Donna Burke (Lee Grant) stops by to remind Rubell and Principal Eugene Horn (William Schallert) that the school cannot afford bad publicity, emphasizing that Kennedy High's financial security is dependent on public trust.
As Dr. Burke reviews the files of teachers who will be participating in the depositions, Rubell assures her that Alex Jurel (Nick Nolte), a popular social studies teacher and a 15-year veteran of Kennedy High, will support the school, despite his past association with student rights issues. While the school psychologist is on temporary leave, Alex Jurel assumes some counseling duties and meets with rebellious student, Eddie Pilikian (Ralph Macchio), who is only reading at a sixth-grade level. Furthermore, Eddie's divorced parents appear more concerned with custody issues than their son's education. Although against school policy, Alex asks Eddie to attend his advanced social studies class, so he can encourage him.
After work, Rubell and Alex go drinking at a local bar, and Alex mentions that he is weary of trying to teach in a dysfunctional system and is ready to quit.
In the school hallway the next morning, Alex avoids an encounter with Lisa Hammond, who is also one of his former students, but she literally follows him into the men's restroom and serves him a subpoena for the deposition. She adds that she had a crush on him in high school and invites him to dinner.
During the first deposition with Principal Horn, Lisa realizes the process is going to be difficult as Principal Horn dodges her questions. Meanwhile, Eddie intervenes in a fight to protect his dangerously disturbed, kleptomaniac and schizo friend Danny Reese (Crispin Glover) from bullies. Afterward the fearful Danny wonders whether he should get a gun to protect himself.
During dinner, Lisa is curious about Alex's opinion on the Calvin case, but he is careful not to voice his position and only states that the lawsuit is about money, not education. After talking with another teacher, Alex realizes that no one was interested in taking the time to improve Eddie's reading skills and simply advanced him through the system.
Meanwhile, Herbert Gower (Richard Mulligan), who was recently released from a mental institution, impersonates a substitute teacher named Stuart Van Ark and arrives at Kennedy High to teach a history class. The students are amused as he throws a book out the window, puts on an Abraham Lincoln costume, and recites the Gettysburg Address.
In his social studies class, Alex is impressed with how Eddie uses photography to complete an assignment and hopes it is the beginning of a breakthrough with the street-smart teenager.
At their next dinner date, Alex and Lisa kiss, but she appears more interested in discussing the Calvin case, which she hopes will change the school for the better. Alex is frustrated, and believes the lawsuit will only cause more damage to the high school's reputation. He indicates he will support the school in the deposition.
Later, Kenneth 'Ditto' Stiles (Royal Dano), an elderly teacher who often falls asleep in class, quietly passes away at his desk from a heart attack, but none of his students notice. Eventually, Grace Wensel (Madeleine Sherwood), Principal Horn's secretary, is alerted and she calls an ambulance to take his body away.
Meanwhile, Herbert continues to portray famous Americans and the students appear engaged as they help him act out historical events such as George Washington crossing the Delaware River.
When student Diane Warren (Laura Dern) reveals to her friend Eddie that she had sex with the gym teacher Mr. Troy (Art Metrano) and is pregnant, he takes her to consult with Alex. Afraid of her parents knowing, she pleads with Alex Jurel to take her to an abortion clinic, and he reluctantly agrees.
At his deposition, an exasperated teacher named Carl Rosenberg (Allen Garfield) is unwilling to lie for the school and claims that John Calvin rarely attended class, but received a passing grade "because it is policy."
Meanwhile, Alex has finally convinced Eddie to take another reading class, but Rubell determines that the boy's reading skills are good enough. When Rubell reminds Alex they need to help hundreds of students through the system and cannot devote all their time to assisting one troubled teenager, Alex is concerned that they are repeating the mistake they made with John Calvin.
After Rosenberg's deposition, school attorney Alan Lewis (Morgan Freeman) warns Rubell that if Alex Jurel confirms Rosenberg's statement, the school will lose the case. Rubell no longer trusts Alex and advises Dr. Burke to oust the teacher from the school.
During a police search for drugs, the troubled Danny panics and removes a gun from his locker. However, an officer mistakenly believes Danny is about to aim the weapon, and fatally shoots the boy. When Eddie finds out his friend is dead, he tells Alex he is quitting school and walks out the classroom.
Meanwhile, Herbert Gower's actual identity is finally revealed when authorities from the mental health institution arrive at the school to escort him away while he is dressed up as General George Custer for his class. His students are disappointed, and Alex salutes the departing Herbert for being a passionate teacher.
At her downtown law office, Lisa learns that her firm has reached a settlement in the Calvin case and is disappointed that an opportunity has been lost to improve Kennedy High. Even though the case is settled out of court, Dr. Burke tells Rubell that she is worried Alex could cause trouble in the future and proceeds to force him out.
Alex, meanwhile, is unaware of the settlement and arrives for his deposition. Instead, he is summoned before a school board and asked by Dr. Burke to sign resignation papers or face being fired. Although Alex is tenured, Dr. Burke has made a confidential deal with the teachers union to ensure they will not interfere in his dismissal. Dr. Burke questions Alex about taking Diane Warren for an abortion, which was performed without parental consent. As a member of the board, Rubell advises Alex to take the deal or risk accusations of sexual misconduct. Alex does not sign the papers, but walks to his classroom and begins packing, resigned to the fact that he can no longer make a difference. Lisa arrives and urges him to fight the school board, certain that they would never risk firing him over Diane's abortion because of the bad publicity it would generate. Alex becomes tearful as his students enter the classroom to support him. After Lisa makes one more desperate attempt to remind Alex about his ideals as a teacher by literally stripping off all her clothes in public, he declares to Rubell and Dr. Burke that he will not resign by quoting "I'm a teacher!" He also threatens a lawsuit if he is fired. He proudly walks back into the school to loud cheers from the students.
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