What's Hot

    Ripple News Brad Garlinghouse Slams $11B Gold Transfer as XRP Price Eyes $2 | Invesloan.com

    September 9, 2026

    Amazon, Wiwynn scale up Texas manufacturing with $1.6B funding (AMZN:NASDAQ) | Invesloan.com

    September 9, 2026

    Sandra Bullock says sister’s warning modified her personal ALS caregiving | Invesloan.com

    September 9, 2026
    Facebook Twitter Instagram
    Finance Pro
    Facebook Twitter Instagram
    invesloan.cominvesloan.com
    Subscribe for Alerts
    • Home
    • News
    • Politics
    • Money
    • Personal Finance
    • Business
    • Economy
    • Investing
    • Markets
      • Stocks
      • Futures & Commodities
      • Crypto
      • Forex
    • Technology
    invesloan.cominvesloan.com
    Home » NYC Is Hit With Second Lawsuit Over Mamdani’s City-Run Grocery Stores | Invesloan.com
    Money

    NYC Is Hit With Second Lawsuit Over Mamdani’s City-Run Grocery Stores | Invesloan.com

    September 9, 2026
    Share
    Facebook Twitter LinkedIn Pinterest Email

    New York City is facing a second lawsuit from private grocers over Mayor Zohran Mamdani’s city-run supermarket initiative.

    The latest case, filed in federal court Wednesday morning, alleges that the administration’s plan to roll out five government-funded stores will undercut local competitors in violation of US antitrust laws. The suit is led by the trade group National Supermarket Association, with backing from other retailers and private grocers.

    It follows a lawsuit filed last month at the state level, in which the Multicultural Business Coalition said the Mayor’s Office is creating an unfair business environment for NYC vendors.

    NYC businesses say they can’t compete with Mamdani’s grocery stores

    Mamdani’s grocery plan will establish a set of supermarkets across the five boroughs on city-owned property. Set to open by 2029, the administration said it will subsidize a 30% discount on core goods like meat, dairy, and produce at all locations. This financial support will be in addition to the rent and property tax forgiveness provided by the city’s Economic Development Corporation.

    Mamdani has pledged $70 million to initially open the stores, $30 million of which will go toward building the East Harlem location from scratch.

    Local retailers have told Business Insider that they won’t be able to compete with the lower prices offered at the city-run stores, which will be located in each borough near major train lines. Grocer profit margins are already low — around 1% to 3% — and the plaintiffs in both cases feel that the city-run stores will unfairly divert customers from neighborhood grocers.

    “If I had an opportunity to sit with Mamdani, I would say do not do a supermarket that’s going to be lower cost for people,” Yesi Morillo, who runs a small business in upper Manhattan, told Business Insider last month. “There are supermarkets here that have been here for decades that have been serving the community and where the community feels comfortable shopping.”

    In the federal case filed Wednesday, the NSA and associated grocers are asking the court to do two things: Rule that the city-run stores violate key federal antitrust laws and block Mamdani’s planned discount on core goods.

    “A tax-supported discount designed to undercut competitors is precisely the type of predatory pricing scheme prohibited by the Nation’s antitrust laws,” the lawsuit says.

    Want more Business Insider in your news feed?

    Add BI in Google so our reporting is easier to find when you’re searching for what matters.

    EDC leaders added they are considering offering subsidies to some local NYC grocers to alleviate their fears about competition from the new city-run stores, but none have been announced.

    The Mayor’s Office did not immediately respond with comment on the September 9 suit. At an August press conference, Mamdani told reporters that “I’m confident in both the legality of this — that it will stand up in court — and the importance of delivering it.”

    In the meantime, the city is accepting applications from prospective operators to run the supermarkets. Those applications are due in October. One applicant told Business Insider that it’s financially challenging to operate grocery stores — big or small — and “It’s going to be important that the city, and the operator, understand those economics.”

    Share. Facebook Twitter Pinterest LinkedIn Tumblr Email

    Keep Reading

    Former DINK: My Lifestyle Changed Less Than I Expected After Baby | Invesloan.com

    I’ve labored at Costco for 21 years. Here are 8 of the very best issues I’m seeing on cabinets proper now. | Invesloan.com

    This Startup Raised $10 Million to Bring AI to Old Factories | Invesloan.com

    TikToker Vivian Tu Brings ‘Your Rich BFF’ to a New AI Finance App | Invesloan.com

    Media Mogul Kara Swisher Shares Advice on When to Quit and Go Solo | Invesloan.com

    Keltie Knight of E! Shares a Day in Her Life Ahead of the Emmys | Invesloan.com

    South Park Is Being Renamed ‘South America’ in Jab at Apple and Google | Invesloan.com

    “Musk” Review: Elon Should Be Worried About Alex Gibney’s Doc | Invesloan.com

    Ripple Cofounder: California Should Allow Chinese EVs for Some Buyers | Invesloan.com

    LATEST NEWS

    Ripple News Brad Garlinghouse Slams $11B Gold Transfer as XRP Price Eyes $2 | Invesloan.com

    September 9, 2026

    Amazon, Wiwynn scale up Texas manufacturing with $1.6B funding (AMZN:NASDAQ) | Invesloan.com

    September 9, 2026

    Sandra Bullock says sister’s warning modified her personal ALS caregiving | Invesloan.com

    September 9, 2026

    NYC Is Hit With Second Lawsuit Over Mamdani’s City-Run Grocery Stores | Invesloan.com

    September 9, 2026
    POPULAR

    China’s first passenger jet completes maiden commercial flight

    May 28, 2023

    Numbers taking US accountancy exams drop to lowest level in 17 years

    May 29, 2023

    Toyota chair faces removal vote over governance issues

    May 29, 2023
    Advertisement
    Load WordPress Sites in as fast as 37ms!
    Facebook Twitter Pinterest WhatsApp Instagram
    © 2007-2023 Invesloan.com All Rights Reserved.
    • Privacy
    • Terms
    • Press Release
    • Advertise
    • Contact

    Type above and press Enter to search. Press Esc to cancel.

    invesloan.com
    Manage Cookie Consent
    To provide the best experiences, we use technologies like cookies to store and/or access device information. Consenting to these technologies will allow us to process data such as browsing behavior or unique IDs on this site. Not consenting or withdrawing consent, may adversely affect certain features and functions.
    Functional Always active
    The technical storage or access is strictly necessary for the legitimate purpose of enabling the use of a specific service explicitly requested by the subscriber or user, or for the sole purpose of carrying out the transmission of a communication over an electronic communications network.
    Preferences
    The technical storage or access is necessary for the legitimate purpose of storing preferences that are not requested by the subscriber or user.
    Statistics
    The technical storage or access that is used exclusively for statistical purposes. The technical storage or access that is used exclusively for anonymous statistical purposes. Without a subpoena, voluntary compliance on the part of your Internet Service Provider, or additional records from a third party, information stored or retrieved for this purpose alone cannot usually be used to identify you.
    Marketing
    The technical storage or access is required to create user profiles to send advertising, or to track the user on a website or across several websites for similar marketing purposes.
    • Manage options
    • Manage services
    • Manage {vendor_count} vendors
    • Read more about these purposes
    View preferences
    • {title}
    • {title}
    • {title}