San Francisco Bill Proposes Suing Grocery Store Owners Who Close without Six-Months’ Notice

San Francisco lawmaker Dean Preston has moved to protect the city's grocery outlets. Recognizing his constituents' needs, the SF Board of Supervisors member has proposed the Grocery Protection Act based on a 1984 proposal. The board approved this age-old initiative but inevitably vetoed by then-Mayor Dianne Feinstein. But what does the Grocery Protection Act entail?

No Surprise Shutdowns - Dean Preston's Grocery Protection Act

According to Preston's proposal, relevant authorities must receive a six-month written notice before a store shuts down. The notice will be issued to the Board of Supervisors and the city's Office of Economic and Workforce Development (OEWD). Notices must be posted at all accessible grocery store points to properly inform customers and the general public. Suppose a store is unprofitable. Even then, the six-month notice for closure stands.

Preston emphasized in a press release, "Our communities need notice, an opportunity to be heard, and a transition plan when major neighborhood grocery stores plan to shut their doors." He expressed concern that massive corporate entities' unilateral decisions should not shoulder seniors' and families' food security needs.

Exceptions to the Six-Month Closure Notice

However, there are instances where the six-month notice requirement can be waived. If unforeseeable business circumstances instigate closure during the time notice would have been issued, or if a natural disaster or emergency has occurred, the notice can be waived.

In cases where a business is actively seeking capital or means that may postpone or negate its closure, the requirement for a six-month notice is not necessary. This exception only applies if the business establishes reasonableness and a good faith belief that giving the closure notice would jeopardize its efforts to stay open. Even then, an explanation for abbreviated notice is required, along with the notification as soon as possible before closure.

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Active Efforts To Sustain Groceries

Preston's legislation insists grocery stores demonstrate "good faith" while working with neighborhood residents and the OEWD. Their aim should be to find feasible solutions to keep providing groceries at the location. These solutions involve identifying strategies and resources to keep the store open, assisting residents in opening a cooperative or placing another grocery store operator who could take over.

Legal Repercussions Around the Corner for Noncompliance?

According to the bill, affected individuals can initiate legal proceedings if a grocery store fails to comply with the closure notice requirements. The course of action could range from seeking damages and injunctive relief to declaratory relief or a writ of mandate to fix the violation.

San Francisco has witnessed a surge in store and office closures, which has made it challenging for businesses to operate amid a crisis of crime and drugs. Preston's proposal comes at a time when grocery chains like Whole Foods and Safeway struggle to keep their operations going in the city.

RELATED TOPIC: California's New Fast Food Minimum Wage Law Sends Menu Prices Skyrocketing in Some Establishments

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San Francisco Bill, Suing Grocery Store Owner, Close without Six-Months’ Notice

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