A state appeals court ruled that a preliminary injunction was rightfully issued against an e-bike business that allegedly tried to rival the popular, city-contracted Citi Bike program before the city sued to stop it in its tracks.

The Appellate Division, First Department court ruled that JOCO, a privately run electronic bike-sharing business that opened across Manhattan in April 2021, was rightfully issued a preliminary injunction two months later by a Manhattan trial court, after the city sued the startup company alleging it had “not sought, much less obtained, the necessary authorization” from the Department of Transportation to run a bike-sharing service in the city.