"I always wanted to be a police officer," said Litzman, a 38-year-old father of five who speaks Hebrew and Yiddish and was once a paramedic.
His attorney, Nathan Lewin, said the police department knew when Litzman applied that he would not trim his beard.
And now, said Lewin, it's a case of religious discrimination.
Lewin did not immediately respond to telephone and emails messages from The Associated Press seeking comment.
The department hired its first Hasidic officer in 2006 and the force now has at least two dozen Orthodox Jewish officers.
Like observant Muslim and Sikh officers, Hasidic officers are allowed to keep their beards for religious reasons but must keep them neat and trimmed.
Manhattan Borough President Scott Stringer issued a statement Saturday saying he was "deeply troubled" by the firing.
"While the NYPD can exercise control over the personal appearance of its force in order to ensure that all officers are capable of performing their duties, they are also required to make a reasonable accommodation for religious beliefs," Stringer said.