FRUIT and vegetable wholesalers will sue the Victorian Government over the Melbourne Markets deal.
Wholesaler representative body Fresh State has launched legal action over a dispute about space at the new Epping market.
The Footscray market community has been forced to move to Epping by the Government.
Fresh State chief executive John Roach said members were told they would receive similar space at the new market to the space they held at Footscray, but the Melbourne Market Authority had since declared wholesalers had "no guarantee" of space at the new site.
A spokesman for Major Projects Minister Dennis Napthine would not comment directly on the legal action, but said the market move had been "bungled from day one by the former Labor Government".
"The project budget blew out from $300 million to more than $670 million," the spokesman said.
The action will be heard in the Supreme Court on December 2.