Plans for a new Aldi in Aberdeenshire have been halted after Tesco went to court.
The local council had granted permission for the discount store at Macduff last year.
But Tesco, which has a branch nearby in Banff, launched legal action against the local authority in a bid to stop the German operator opening up in Duff Street.
The Court of Session has now ruled in favour of Tesco.
The Press & Journal says that means the plans can no longer proceed.
Aldi had promised 35 new jobs as part of the project.
Judicial review
A council spokesman yesterday confirmed the outcome of the judicial review, which will leave many local people dismayed.
He said: "It means the planning permission previously awarded by Aberdeenshire Council for the development has been quashed and cannot now be implemented.
"We are in discussion with Aldi about the planning options available to the company."
An Aldi spokesman added: "It is extremely disappointing that we will not be able to open our new store in Macduff later this year, especially given the overwhelming support we received for the proposals.
"We are currently reviewing the decision before deciding how to proceed."
Residents in Macduff and neighbouring Banff have long complained about the lack of supermarkets in the area.
Consultation
Hundreds of people took part in a public consultation on the Aldi plans in the summer of 2021.
Aldi bosses said they were bowled over by the "unprecedented level of support", with 708 backing the idea - 98.3% of all respondents.
But the Co-op had urged the local authority to reject the plans.
It argued that the new store would "cause significant harm" to local traders, with the Co-op and Tesco in Banff town centre both expected to suffer greatly.
After the P&J revealed details of the Tesco court move, more than 1,600 residents backed an online petition calling for the supermarket giant to drop the challenge.
Those signing criticised Tesco bosses for their action.
Budgeting
Some said the area "badly needs" an Aldi to help with budgeting.
Aldi was to spend £3.3million on the Macduff project.
The retailer could submit another planning application for the Duff Street site, which could again be approved by the council.
But it would be open to Tesco to again challenge that decision at the Court of Session.
Tesco has also taken measures to object to rival outlets opening elsewhere in the UK.
But bosses insist their concerns are always based on "material planning matters" - such as the impact on the environment - rather than concern about their own profits.