Illegal street vendor sues partner over exploitative pricing scheme | New York Post

Last year, the fed-up food peddler sued Wu — even though he was participating in the illegal scheme, too — claiming she breached their contract by refusing to renew the permit at the agreed-upon price.

In court papers, Wu denied that she “willfully” or “knowingly” entered into an unenforceable contract with him, although she did admit that transfer of the permit was illegal.

Administrative Law Judge Susan Pogoda called for Wu to be stripped of both her food-cart permit and vendor’s license, according to the court’s April 10 decision.

The city Health Department is reviewing whether to enforce that recommendation, officials said.

Pogoda said Wu’s “dishonesty in transferring her permit illegally and obtaining a profit for leasing her permit was in clear violation” of city law and her no-show during the trial “reflects a willful disobedience to the [Health] Department rules.”

It’s unclear what consequences may befall Liu, who also has filed a civil suit against Wu.

The Heath Department charges $200 for food-vendor permits, which have been capped at a total of 5,100. A waiting list for them dates back to 2008 and is roughly 2,500 people long.

That has prompted a lucrative black market to pop up, where it’s common for permit-seekers like Liu to pay as much as $25,000 for one.

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Illegal street vendor sues partner over exploitative pricing scheme | New York Post.