I guess he could be lying but he said he showed the PG version of the movie.
I didn't realize there was a PG version of the movie. I'd actually be quite surprised if the n-word was allowed in the PG version, but I could be wrong. One of the parents was quoted in the article as saying "Frye believes her son was shown the R-rated version." That's what I was assuming when I wrote my reply.
I stand by my initial opinion that an 8th grade teacher shouldn't be showing movies with the n-word in them. Or s-word, or f-word, for that matter. But clearly the right thing to do, if the teacher felt he just HAD to show the movie, would have been to send a permission slip home explaining that the movie would be shown, the historical context of the word as used in the movie, why the movie is important for the class goals, and requiring a parental signature for permission. And obviously allowing students an alternate activity if their parents disapproved.