New Jersey Attorney General Suing “Cash Strapped, Struggling” United States Post Office

TRENTON, NJ – The United States Postal Service says it’s losing money and is need of a financial bailout due to COVID-19’s business shut down, but that’s not stopping New Jersey Attorney General Gurbir Grewal from launching a lawsuit against the struggling agency.

Quarantines, stay-at-home orders, and travel and logistics restrictions in connection with the outbreak have affected retail and commercial customers, as well as suppliers and mail service providers. The Postal Service relies on the sale of postal products and services to fund its operations and is significantly impacted by factors including, but not limited to, overall customer demand, the mix of postal services and contribution associated with those services, and the volume of mail and packages processed through its network.

As a result of the pandemic, and to a lesser extent, secular mail declines, the Postal Service’s sales from mail services, its largest sales category, continued to significantly decline during the third quarter.

Grewal today tweeted, “I can confirm: New Jersey will be suing @USPS. . Voting by mail is safe, secure, and reliable. We intend to keep it that way. As AG, I’ve made it my mission to hold accountable those who try to corrupt our political process. Lawsuit coming soon.”

“The ability to borrow an additional $10 billion under the CARES Act addresses the Postal Service’s near-term liquidity crisis but does not address the Postal Service’s broken business model. It merely postpones the impending liquidity crisis and the borrowings must be repaid in a period where cash shortages are forecasted,” the post office said.

Now the post office, already in financial distress will have to stave off a politically motivated lawsuit from Gurbir Grewal and New Jersey Governor Phil Murphy who are both hellbent on having the service be the primary delivery method for federal election ballots this upcoming November.

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