Amanda Bynes

The 'Easy A' actress, who is currently receiving treatment in a psychiatric hospital in Los Angeles after being placed under an involuntary hold on July 22, failed to appear in court to face Driving Under the Influence (DUI) charges, stemming from her arrest in West Hollywood in April 2012, on Tuesday, and her lawyer, Rich Hutton, told the judge that she does not have the mental capacity to understand the case.

A source told gossip website TMZ.com that after the 27-year-old star's lawyer clarified her current status, the judge transferred the matter to the mental health court, where another judge will conduct a hearing to determine Amanda's mental competency.

It was recently reported that the 'What I Like About You' star could leave her mental health facility in early November and will then be placed in the care of her mother, Lynn Bynes, who secured a temporary conservatorship over her shortly after she was placed in hospital by police, who arrested her after she started a small fire outside a stranger's home.

An insider previously said: "Amanda has made significant improvements, she is doing better than she was.

"There are no drug problems involved, it's all mental. She has deep anger and PTSD (Post Traumatic Stress Disorder), which tripped a psychotic episode... She is very ill, but manageable. Amanda genuinely wants to get better and has wanted to get better for some time."

The actress' PTSD allegedly stems from the pressure she has felt since carving out a successful career in Hollywood as a child star on Nickelodeon.