Ben & Jerry’s accused its parent company, Unilever, of unlawfully removing its CEO, alleging that the move was aimed to retaliate against the ice cream maker’s social and political activism.
In a legal filing submitted late on Tuesday, the Vermont-based company said that Unilever had informed its board on 3rd March that it was replacing CEO David Stever. Ben & Jerry’s argued this decision violated the terms of its merger agreement, which requires consultation with an advisory committee from its board before any CEO can be removed.
Unilever, headquartered in London, responded on Wednesday, expressing disappointment over the public nature of the dispute.
“Regrettably, despite repeated attempts to engage the board and follow the correct process, we are disappointed that the confidentiality of an employee career conversation has been made public,” the company said in a statement.
Unilever acquired Ben & Jerry’s in 2000 for $326 million, with the ice cream brand hoping the partnership would strengthen its social mission. However, tensions between the two companies have escalated in recent years.
In 2021, Ben & Jerry’s announced it would no longer sell its products in Israeli settlements in the occupied West Bank and East Jerusalem. The following year, Unilever sold its Israeli operations to a local company, which continued selling Ben & Jerry’s under its Hebrew and Arabic branding across Israel and the West Bank.
Unilever has since revealed plans to spin off its entire ice cream division, including Ben & Jerry’s, by the end of 2025 as part of a wider restructuring. The consumer goods giant also owns brands such as Dove soap and Hellmann’s mayonnaise.
The strained relationship took another hit last November when Ben & Jerry’s sued Unilever in a New York federal court, accusing it of attempting to silence the company’s statements supporting Palestinians in the Gaza war.
The complaint also alleged that Unilever blocked Ben & Jerry’s from posting about issues it expected to be challenged in a potential second term for Donald Trump, including minimum wage policies, universal healthcare, abortion rights, and climate change.
Tuesday’s filing marked an amendment to that ongoing lawsuit, further expanding the gap between the ice cream brand and its parent company.
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