Although Amanda Bynes has been in treatment for mental health issues since the summer, a Los Angeles mental health judge recently ruled that the 27-year-old star is mentally competent to stand trial for her DUI charges, E! News reports.

After being placed on an involuntary 5150 psychiatric hold in July for setting fire to a stranger's driveway in her hometown of Thousand Oaks, Calif., Bynes was transferred to UCLA Medical Center for an evaluation and subsequent treatment, and was later moved to Bridges to Recovery in Malibu, a facility that specializes in mental health treatment.

Back in April 2012, Bynes was arrested after a run-in with a parked police cruiser, and although she was scheduled to appear in court on Sept. 24 of this year, her attorney, Tamar Armanak, made a request on Aug. 8 year to postpone her trial due to the state of her mental health. The request was granted by a judge, who extended Bynes' hospitalization for another 30 days.

Rumors have been circulating that Bynes will be out of treatment in time for Christmas, sources claiming that the actress will not live with her parents, Rick and Lynn, but will continue to receive ongoing outpatient treatment and counseling. 

"The goal is to help her transition into society properly," an insider told Life & Style Weekly. "It's a small step, but an incredibly important one. She now understands that she needs to take her medicine daily. She has her good days and bad days like everyone else, but she wants to move forward with her life - and she is. She's very stable."

Meanwhile, Lynn Bynes has asked for fans not to believe anything they hear from the media unless it comes directly from the Bynes family or Armanak, and has asked everyone to respect their privacy during this time. 

Bynes' next court date is set for Jan. 7, 2014, according to E! News, and according to a statement released by her parents in September, she is "making great strides toward recovery."