New York City's plan to have a uniform taxi fleet was squashed by a judge last week only weeks before Nissan was to deliver its first vehicles under the exclusive contract, according to a report by Reuters.
Under the "Taxi of Tomorrow" initiative, which was scheduled to take effect on October 28, Nissan would be the exclusive supplier of New York's taxi cabs.The contract was estimated to be worth approximately $1 billion according to the Reuters report.
State Supreme Court Justice Shlomo Hagler ruled that the Taxi and Limousine Commission overstepped its authority when it made its decision to create a uniform taxi fleet comprised of Nissan NV200 models. The decision should have been made by the City Council, according to Hagler's ruling.
The lawsuit was brought by Evgeny Freidman, a major city fleet operation, and the Greater New York Taxi Association, which claimed the Taxi and Limousine Commission didn't have the power to force taxi operators to purchase a particular vehicle.
The City's attorney, Michael Cardozo, said he intended to appeal the ruling, according to the Reuters report.
Reuters reported that Nissan was still "considering it options," but would continue to sell the NV200 Taxi to interested fleet owners.