Bynes, 28, was hospitalized earlier this month after displaying erratic behavior, including going on a worrisome Twitter rant against her father. The 72-hour hold was extended twice before it was reversed Thursday. She was photographed in Los Angeles Thursday night.
"My clients are very concerned about their daughter," Tamar Arminak, the lawyer for the Bynes family, told ABC News in a statement just prior to Bynes' hospitalization. "They are doing everything they can to help Amanda."
Last summer, Bynes was also hospitalized and spent time in rehab before moving back in with her parents last winter. She enrolled in fashion school and things appeared to be improving for the actress until just recently.
In September, the actress was arrested for an alleged DUI, when authorities claim she stopped in the middle of an intersection. She has yet to enter a plea.