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A coalition representing immigrant-owned grocers is targeting New York City in a lawsuit over democratic socialist Mayor Zohran Mamdani’s plans to open multiple government-owned grocery stores in the Big Apple, a government intervention that is expected to cut into the profits of regular markets.
The lawsuit was expected to be filed Monday at 8 a.m. ET, following efforts to resolve the solution out of court.
“Although we have not heard from you since May 2026, we are open to resolving this matter amicably with more sensible solutions to feed working class people with nutritious essential food items at affordable prices,” the Multicultural Business Coalition’s president, Kenneth Roldan, declared in a letter to City Hall, according to a New York Post report last week.
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“We are asking the mayor to avoid litigation to sit down with us,” legal counsel for the coalition, Mark Jaffe, the president of the Greater New York Chamber of Commerce, told the outlet. “But we have to try to stop this if they won’t listen to us.”
The first of five planned government-linked grocery stores is expected to open next year, the mayor’s office announced earlier this year.
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“Under the model, the City will own the land and cover overhead costs like rent and construction. A private operator, selected through a request for proposals, will manage daily operations and be contractually required to pass savings directly to customers on a core basket of everyday staples,” an April news release stated.
Mamdani has claimed that prices for a core basket of grocery items will be priced 30% lower than normal retail prices at the government-affiliated stores.
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“This core set of goods will include all fresh produce, meat and seafood along with 20 other essential items like cheese, milk and bread. Here’s how it will work: Once a month, our five city-run grocery stores will set prices for this core set of goods at 30% below typical retail prices,” he said last month.
FOX Business’ Madison Alsworth contributed to this report.
