{"id":343029,"date":"2026-09-10T17:52:08","date_gmt":"2026-09-10T17:52:08","guid":{"rendered":"https:\/\/www.newsbeep.com\/us-ny\/343029\/"},"modified":"2026-09-10T17:52:08","modified_gmt":"2026-09-10T17:52:08","slug":"mamdani-hit-with-fed-lawsuit-over-city-run-grocery-stores-new-york","status":"publish","type":"post","link":"https:\/\/www.newsbeep.com\/us-ny\/343029\/","title":{"rendered":"Mamdani hit with fed lawsuit over city-run grocery stores | New York"},"content":{"rendered":"<p>(The Center Square) \u2014 New York City Mayor Zohran Mamdani&#8217;s plans to create a chain of government-run grocery stores are facing another lawsuit claiming the move is illegal.\u00a0<\/p>\n<p>In the lawsuit, filed in U.S. District Court on Wednesday, lawyers for the National Supermarket Association and a group of New York grocery store owners allege that the administration&#8217;s plan to roll out five city-funded stores would undercut local competitors, in violation of federal antitrust laws.<\/p>\n<p>The plaintiffs ask a federal judge to rule that the government-run stores violate federal antitrust laws and block Mamdani&#8217;s plan for the stores to sell items at discounts of up to 30% off retail prices.<\/p>\n<p>&#8220;A tax-supported discount designed to undercut competitors is precisely the type of predatory pricing scheme prohibited by the Nation&#8217;s antitrust laws,&#8221; the plaintiffs wrote in the complaint.\u00a0<\/p>\n<p>The association, which represents 450 independent grocery stores in New York City, filed the complaint with the America First Policy Institute, a conservative nonprofit chaired by Larry Kudlow, President Donald Trump\u2019s former senior economic advisor.<\/p>\n<p>The lawsuit comes two weeks after a group of New York City bodega owners sued the Mamdani administration in state court over his proposed government-run grocery chains, claiming it would hurt immigrant and minority-owned businesses.\u00a0<\/p>\n<p>The Multicultural Business Coalition, a nonprofit group that represents hundreds of small businesses, filed the lawsuit in state Supreme Court alleging that the Mamdani administration doesn&#8217;t have the legal authority to create the stores. The outcome of that case is still pending.\u00a0<\/p>\n<p>Mamdani&#8217;s push to open city-run grocery stores was a campaign promise for the democratic socialist, whose far-left agenda also includes plans for universal childcare, tuition-free community colleges, and free bus service.<\/p>\n<p>Under the mayor&#8217;s plans, which will require City Council approval, the stores wouldn&#8217;t pay rent or property taxes, allowing them to keep their overhead costs down and pass on savings to shoppers, according to the Mamdani administration.\u00a0<\/p>\n<p>The $70 million initiative calls for hiring a private operator to run the stores under the city&#8217;s pricing rules. The first store is scheduled to open next year in the Bronx neighborhood of Hunts Point, according to City Hall.<\/p>\n<p>A Mamdani spokesperson dismissed the lawsuit and claimed that the plan to create the government-run grocery stores will survive the new legal challenge.\u00a0<\/p>\n<p>&#8220;By the end of the mayor&#8217;s first term, every borough will have a high-quality, affordable grocery store that New Yorkers can count on,&#8221; the statement said.<\/p>\n","protected":false},"excerpt":{"rendered":"(The Center Square) \u2014 New York City Mayor Zohran Mamdani&#8217;s plans to create a chain of government-run grocery&hellip;\n","protected":false},"author":2,"featured_media":343030,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[36],"tags":[98,100,99,3365,9,24,1411,63],"class_list":["post-343029","post","type-post","status-publish","format-standard","has-post-thumbnail","category-brooklyn","tag-brooklyn","tag-brooklyn-headlines","tag-brooklyn-news","tag-economy","tag-new-york","tag-new-york-city","tag-new_york","tag-nyc"],"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/us-ny\/wp-json\/wp\/v2\/posts\/343029","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/us-ny\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/us-ny\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/us-ny\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/us-ny\/wp-json\/wp\/v2\/comments?post=343029"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/us-ny\/wp-json\/wp\/v2\/posts\/343029\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/us-ny\/wp-json\/wp\/v2\/media\/343030"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/us-ny\/wp-json\/wp\/v2\/media?parent=343029"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/us-ny\/wp-json\/wp\/v2\/categories?post=343029"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/us-ny\/wp-json\/wp\/v2\/tags?post=343029"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}