Produce Company Did Not Sue NY Frivolously

NEW YORK (CN) - A produce company did not bring a frivolous challenge to the New York City Economic Development Corp.'s award of a lease to another food store, the New York Appellate Division ruled.

The challenge was ruled to be not capricious because a trial court found that EDC engaged in a "sham" bidding process.

The appellate division had overturned the decision against the EDC for lack of standing. The petitioner, Hunts Point Terminal Produce Cooperative Association, was one of the losing bidders and therefore had the right to issue the challenge.

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