New York City's plan to create a uniform taxi fleet was struck down by a judge on Oct. 8, just weeks before Nissan Motor Co. was due to start shipping out the new taxis.
Called the "Taxi of Tomorrow" initiative, which was set to begin October 28, would have required every new taxi in the Big Apple to be a Nissan NV200, according to Reuters.
Nissan was given a contract worth an estimated $1 billion in 2011.
Manhattan State Supreme Court Justice Shlomo Hagler ruled that the Taxi and Limousine Commission "overstepped" its authority.
Hagler relied on the same legal argument that stopped Mayor Michael Bloomberg's effort to ban large sugary drinks from the city, saying the commission had "infringed upon the City Council's powers" according to Reuters
"The notion that New York City should have one exclusive 'iconic' New York City taxicab is a policy decision that is reserved for the City Council," he said.
When the 10-year contract was first handed out, Nissan said they expected to provide approximately 26,000 vehicles to the city's taxi fleet during the deal's lifetime.
"We believe the Court's decision is fundamentally wrong, and we intend to appeal immediately," The city's chief lawyer, Michael Cardozo, said in a statement. "We are disappointed in the court's decision, but it will not prevent our plan to start upgrading the NYC taxi fleet with the Nissan Taxi of Tomorrow at the end of the month."
The ruling was the second time a state judge has blocked the plan. Justice Peter Moulton in Manhattan ruled back in May that the initiative "failed to comply with city regulations allowing taxi operators to buy hybrid vehicles," according to Reuters.
The lawsuit was brought by Evgeny Freidman, a major city fleet operator, and the Greater New York Taxi Association.
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