The court satisfied the complaint filed by the Lithuanian Gay League, which asked to annul the decision of the city authorities to ban the rally on Gedimino Avenue, authorizing the municipality to issue the sanction.
"The court ruled that the freedom of assembly cannot be restricted and that the municipality presented no reasons for banning (the rally)," judge Arūnas Kaminskas said.
An appeal against the court ruling may be filed with the Lithuanian Supreme Administrative Court within 14 days.
"Finally, the right of all citizens of Vilnius to Gedimino Avenue has been defended," Vladimir Simonko, chairman of the Lithuanian Gay League, said.
The Vilnius municipality was not available for a comment on Friday.
"We will look into the court's argumentation and will provide our comment on Monday," Daiva Savickienė, deputy head of the municipality's Public Relations Division, told BNS.
The municipality maintained that the permit to march along the central street was refused due to what it said was "high probability of incidents and threat to public peace, morals and public safety, regardless of high police presence."
Vilnius administration suggested that the rally could take place on a more remote Upės Street, but the Lithuanian Gay League disagreed, saying Gedimino Avenue was a traditional venue for various events and demonstrations.
The Lithuanian Gay League has already won a case, and the court ruled that the Vilnius administration cannot set a venue of an event.
The organizers maintain the march, which is held in many Western countries, is important in drawing public attention to discrimination against sexual minorities and promoting equality. Meanwhile, some critics in Lithuania say it "promotes homosexuality."
The March For Equality is scheduled for July 27.
The first gay march in Lithuania took place in 2010, which was also preceded by court hearings on the march location and permission to hold it. The march itself took place eventually, with several hundred people marching through a heavily-guarded territory in the presence of around a thousand protesters.
