NEW YORK CITY – The First Department of the state Supreme Court’s Appellate Division sided with opponents of New York City’s ban on large sugary beverages, NBC News reports.

In March, a judge blocked the city from implementation of the ban, which prohibited restaurants and other eateries from selling of “sugary” drinks in containers larger than 16 ounces, calling the rule, “arbitrary and capricious.”

The ban “violated the state principle of separation of powers,” the appellate court said in its unanimous ruling. The American Beverage Association (ABA) and other groups had filed a lawsuit against the city challenging the law’s validity. Mayor Michael Bloomberg had heavily promoted the ban as part of his overall efforts to improve the public health of the city.

“Since New York City's ground-breaking limit on the portion size of sugary beverages was prevented from going into effect on March 12, more than 2,000 New Yorkers have died from the effects of diabetes,” the mayor said in a statement after the decision. “Today's decision is a temporary setback, and we plan to appeal this decision as we continue the fight against the obesity epidemic.”

The ABA expressed its support of the decision. “We are pleased that the lower court's decision was upheld. With this ruling behind us, we look forward to collaborating with city leaders on solutions that will have a meaningful and lasting impact on the people of New York City,” said Christopher Gindlesperger, ABA spokesman.