A New York City nonprofit representing hundreds of small supermarkets, bodegas and grocery store owners is suing Mayor Zohran Mamdani and the city in an effort to stop his plan to open five government-owned grocery stores.
The Multicultural Business Coalition, a group representing small business owners, filed a class-action lawsuit in New York County Supreme Court Monday, alleging Mamdani’s plan violates the civil rights of smaller, minority-owned grocery stores as they cannot afford to match the discounts offered by the city-run stores.
“You cannot expect hard-working small business owners to compete with a supermarket that isn’t going to pay rent, won’t have to pay an electric bill and won’t have to buy their products at full price,” Mark Jaffe, the group’s general counsel and president of the Greater New York Chamber of Commerce, told CNN. “They cannot possibly compete because no one will be subsidizing them.”
The city’s law department referred CNN to Mamdani’s office for comment about the lawsuit.
When asked about the lawsuit at a news conference Monday announcing a city parks initiative, Mamdani said he was confident in the legality and importance of his plan.
