NYC soda ban falls flat
A judge says inconsistent enforcement for coffee and other beverages led to the law's demise.
New York Supreme Court Judge Milton Tingling ruled as such on Monday, The Wall Street Journal reported. Tingling said that the law was doomed by inconsistencies that capped servings of Coca-Cola (KO), Pepsi (PEP) and other sweetened beverages at 16 ounces but let lattes flow unabated. The ruling came just one day before the law was slated to go into effect.
The regulations are "fraught with arbitrary and capricious consequences," the judge wrote. "The simple reading of the rule leads to the earlier acknowledged uneven enforcement even within a particular city block, much less the city as a whole. . . the loopholes in this rule effectively defeat the state purpose of the rule."
As The New York Times reported last week, Bloomberg's ban on oversized sweet drinks like jumbo colas would have extended to large and extra-large coffee and medium-to-large iced beverages. This is where the law got a bit murky, as customers could add their own sugar to huge cups of coffee, while sweet stuff like hot chocolate gets capped at medium sizes. Lattes containing 50% or more milk were immune to the policy changes entirely.
Starbucks (SBUX), however, wasn't playing along and called out Bloomberg's ban as vague at best. The company told Business Insider that it didn't plan to remove large versions of sweetened drinks like its iced-tea lemonade until it got some clarification on what drinks fall within the ban. The law would have limited non-coffee sugary drinks sold at restaurants, movie theaters, street carts, and elsewhere to 16 ounces.
The Daily News reported that Bloomberg had planned to unleash city health inspectors with 17-ounce cups to keep everybody honest. Restaurants that violated the ban would have lost points on their sanitation score, which were the "capricious consequences" the judge was referring to when he struck down the ruling. The first cracks in Bloomberg's facade showed Sunday, when the mayor accused Starbucks of playing coy when asked about the subject on CBS' “Face The Nation” on Sunday.
“Starbucks knows how to market things, knows how to package things,” Bloomberg said. “They can change instantly when it’s in their interest to do so.”
Starbucks competitor Dunkin' Donuts (DNKN), which is notorious for adding a front-end loader's worth of sugar to its coffee upon request, planned to play the good little East Coast chain and make its harried rush-hour customers line up for sugar packets after they received their coffee. Seattle's Starbucks had no time for Northeast neuroses, but neither did the legal system, apparently.
Bloomberg - 0
Glad to hear the court used some sense and overturned the ban. Silly waste of everyone's time and money!
We buy soda or as we call it pop, by the CASES or 12 packs.
Guess we can buy beer the same way....And do.
Booze and wine by the 5th's, qts or Liters......WTF is the matter with that man, well actually an idiot.
Only ones that would make out here are Corporations...
They would downsize and charge the same..
Or eliminate and charge a little more for next size down...You gotta buy two..
It all sounded like an evil plan to me.
Copyright © 2013 Microsoft. All rights reserved.
Fundamental company data and historical chart data provided by Morningstar Inc. Real-time index quotes and delayed quotes supplied by Morningstar Inc. Quotes delayed by up to 15 minutes, except where indicated otherwise. Fund summary, fund performance and dividend data provided by Morningstar Inc. Analyst recommendations provided by Zacks Investment Research. StockScouter data provided by Verus Analytics. IPO data provided by Hoover's Inc. Index membership data provided by Morningstar Inc.
A basic income policy can actually ensure a decent standard of living for everyone.
- People left $500,000 in coins at airports last year
- How your driving can affect your credit
- Obamacare projected to cost hundreds of billions less
- November jobs report: Winners and losers
- Student loan debt climbs for 5th year in a row
- Wall Street finally notices Bitcoin
- Part-time workers hurt by on-call system
- 5 myths about late payments and your FICO scores
- Auto loan interest rates hit record low
[BRIEFING.COM] A solid November employment report translated into a solid day of gains for the major averages. While there was some talk that the encouraging job growth raised the odds of the Fed announcing a tapering at its December meeting, the message of the markets today was either that it didn't believe there would be a tapering this month or that it doesn't fear a tapering this month.
It was just one day, yet there was ample meaning wrapped up in the connection that the 10-yr ... More
More Market News
The Fed may start tapering in just a few months. Here are a few of the likely winners and losers.