It is not clear if they gave her a chance to quit quietly (for personal reasons) or gave her the bum's rush. She has a point. The school is so determined to be "fair" that they forget what ought to be the primary part of a Catholic school's missins statement, which is to teach Christian principles. The supreme court has not been very clear about the First Amendment, but it is clear about one thing. A school is not a university; it indoctrinates, it is not a place for free discussion, because its enrollees are seldom adults.
From the cafeteria attitude of Loretto's administration, I can just imagine that Ms. Bain's termination must have been an event marked by tears, wailing, hugs, solidarity, support, and self-righteous speeches voicing disgust for that "Nazi Pope" who endangers the lives of women everywhere. I'll bet until that day, Ms. Bain had never known there could be such love from her liberal sisters.