A coalition of immigrant-owned grocers has filed a lawsuit against New York City regarding Mayor Zohran Mamdani’s proposal for government-owned grocery stores, which would operate alongside existing private markets.
The group is challenging the city’s plan, arguing that taxpayer subsidies for the stores could undermine local businesses. While initial negotiations were attempted, the legal action proceeded after unsuccessful attempts at resolution.
New York City Mayor Zohran Mamdani listens as Gov. Kathy Hochul speaks during a press conference on Immigration and Customs Enforcement (ICE) actions on Aug. 12, 2026, in New York City. (Michael M. Santiago/Getty Images / Getty Images)
“We have not heard from you since May 2026, but we remain open to amicable solutions that can provide working-class families with affordable, nutritious food options,” said Kenneth Roldan, president of the coalition, in a letter to City Hall.
Legal representative Mark Jaffe stated, “We are encouraging the mayor to engage in dialogue, but we must pursue this litigation to protect our members from unfair competition.”
The first of five planned city-operated grocery locations is slated to open in the first quarter of 2027, according to the mayor’s office.
Zohran Mamdani, mayor of New York, holds up bananas labeled with a 30% off sticker during an announcement of municipal grocery stores at a Campaign for Hunger community food distribution center in the Brooklyn borough of New York, on Monday, July 27, (Adam Gray/Bloomberg via Getty Images)
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