The Michigan Court of Appeals on Wednesday ruled the state's voter-approved ban on Medicaid-funded abortions unconstitutional, setting the stage for an appeal to the state's highest court.

The 2-1 ruling came in a legal challenge filed against the ban by the American Civil Liberties Union on behalf of a teenage rape victim from Detroit who was denied funding for an abortion under the law.Howard Simon, executive director of the ACLU in Michigan, called the decision a major victory for poor women in Michigan unable to afford legal abortions under the law approved by voters in 1988.