Unilever and Ben & Jerry's Clash Over Social Mission and Leadership Shakeup

Ben & Jerry's accuses its parent company, Unilever, of ousting CEO Dave Stever over its social mission, sparking a legal battle. This follows longstanding tensions since Ben & Jerry's 2021 decision to halt sales in the Israeli-occupied West Bank. Unilever plans to spin off various ice cream brands.

Ben & Jerry's has launched a legal battle against its parent company, Unilever, accusing it of removing CEO Dave Stever in an escalating conflict over the subsidiary's social mission. The ice cream maker claimed in a Manhattan federal court filing that this decision followed repeated threats from Unilever aimed at quelling its social activism.

The lawsuit, filed by Ben & Jerry's, seeks to prevent Unilever from dismantling its independent board and curtailing its activism. It comes at a time when many companies are reconsidering their social policies, influenced by political pressure. Tensions have been simmering since 2021, when Ben & Jerry's stopped sales in the Israeli-occupied West Bank, a move met with controversy.

Unilever's deadline loomed to dismiss an earlier complaint, as their plans continue to simplify their product portfolio by spinning off Ben & Jerry's and other ice cream brands such as Breyers and Magnum. The case, Ben & Jerry's Homemade Inc v Unilever et al, continues in the U.S. District Court, Southern District of New York.

(With inputs from agencies.)