Boulder liquor store owner sues city over Whole Foods license

Hazel's owner challenges Whole Foods' liquor-license modification in court

Published on Mar. 2, 2026

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A Boulder liquor store owner has filed a lawsuit against the City of Boulder over a decision to allow Whole Foods to modify its liquor license. The owner of Hazel's Beverage World claims the city's approval of the license change gives an unfair advantage to the larger grocery chain.

Why it matters

This case highlights the ongoing tensions between independent local businesses and large national chains in the competitive liquor retail market. The outcome could set a precedent for how cities handle liquor license disputes between small businesses and major corporations.

The details

Hazel's Beverage World owner Ken Amundson has filed a lawsuit against the City of Boulder, claiming officials improperly approved a liquor license modification for the local Whole Foods store. The lawsuit alleges the city's decision gives Whole Foods an unfair competitive advantage over Hazel's, which is an independent liquor store located near the Whole Foods.

  • Whole Foods applied for the liquor license modification in January 2026.
  • The Boulder City Council approved the license change in a 5-2 vote on February 10, 2026.
  • Hazel's owner Ken Amundson filed the lawsuit against the city on February 15, 2026.

The players

Hazel's Beverage World

An independent liquor store located in Boulder, Colorado.

Whole Foods

A national grocery store chain that operates a location in Boulder, Colorado.

Ken Amundson

The owner of Hazel's Beverage World who filed the lawsuit against the City of Boulder.

City of Boulder

The local government entity that approved Whole Foods' liquor license modification.

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What they’re saying

“We must protect our local businesses from unfair competition by large national chains.”

— Ken Amundson, Owner, Hazel's Beverage World (BizWest)

What’s next

The lawsuit will now go through the court system, with a judge set to rule on the case in the coming months.

The takeaway

This dispute highlights the ongoing challenges faced by independent local businesses as they compete with deep-pocketed national chains, raising questions about how cities should balance the interests of small businesses and larger corporations when it comes to liquor licensing decisions.