(CNN) — New York restaurants can continue selling large sugary drinks after an appeals court sided Tuesday with a lower court ruling that found the city’s restrictions on such beverages to be “arbitrary and capricious.”
The Supreme Court’s Appellate Division found that the city’s Board of Health “failed to act within the bounds of its lawfully delegated authority” when it moved to ban sugary drinks of more than 16 ounces in New York City restaurants, movie theaters, and other food service establishments.
The court declared the regulation violated the principle of separation of powers.
City officials say they will appeal.
