Mamdanis new socialist outrage means more woe for NYC small businesses

Just three months ago, Zohran Mamdani declared New York City “OPEN for Small Business.”Now he’s declaring open season on them.Last week Mamdani backed the People and Organizations Winning Economic Relief Act, or POWER — a new City Council bill that would create a sweeping new municipal right to sue businesses.New Yorkers can already file claims based on state law for a business’ unlawfully deceitful acts, and the attorney general can prosecute businesses for unfair and abusive practices.POWER, however, would allow private plaintiffs to sue over “unfair methods of competition” and any “unfair, deceptive, abusive or unlawful acts or practices in or affecting business, trade or commerce.”Above all, it promises to be a windfall for plaintiffs’ lawyers: Claimants can sue for themselves, for other New Yorkers or for the general public, and the bill defines “injury” so broadly that it’s lost its true meaning.City Hall is advertising litigation as a weapon against large predatory corporations, but the fine print tells a different story.POWER would cover businesses with as few as five employees — yet Mamdani’s “OPEN” agenda defined a small business as one with up to 50 employees.Back in July the mayor even conceded that confusing rules and punishment-first enforcement are driving the city’s business owners crazy — and promised clearer standards and a fair chance to correct honest mistakes.But POWER exempts businesses only if they’re independently owned, earn less than $5 million a year and employ no more than four people.Hire a fifth worker, and a mom-and-pop shop suddenly becomes a corporate villain and a deserving lawsuit target.NYC’s latest jobs count found that 59,640 private-sector firms had five to 49 employees, supporting nearly 787,580 jobs.All of them meet POWER’s headcount bar, even though Mamdani’s own administration called them small businesses just a few months ago.So what are they in for?If POWER passes, plaintiffs ...