Sunita Somvanshi
Ben & Jerry’s has filed court documents accusing Unilever of improperly removing CEO David Stever, intensifying a conflict over the ice cream brand’s social activism role under corporate ownership.
CEO Removal Sparks Legal Action
Court filings from March 18 state Unilever informed Ben & Jerry’s on March 3 it was “removing and replacing” Stever without getting required approval from Ben & Jerry’s independent board. This move allegedly violates their 2000 merger agreement that was structured to maintain Ben & Jerry’s independence.
Stever joined Ben & Jerry’s in 1988 as a tour guide and rose to CEO in May 2023. According to the filing, Stever was chastised in his performance review for “repeatedly acquiesce[ing] to the demands of the Independent Social Mission Board” by allowing social advocacy posts.
Growing Tensions Over Social Positions
The relationship between the companies has deteriorated since 2021 when Ben & Jerry’s stopped selling ice cream in Israeli-occupied Palestinian territories, a business Unilever later sold.
The lawsuit claims Unilever blocked Ben & Jerry’s from:
- Publishing a Black History Month post
- Supporting a Columbia University student detained for protesting Israel and the Gaza war
- Releasing content mentioning President Trump after the 2024 election
- Issuing statements on minimum wage, healthcare, abortion, and climate issues
Unilever’s response acknowledges supporting Ben & Jerry’s social advocacy but argues it now promotes “one-sided, highly controversial, and polarizing topics that put Unilever, B&J’s, and their employees at risk.”
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Legal Arguments Mount
Ben & Jerry’s initially sued Unilever in November 2024 to stop alleged efforts to dismantle its board and end its progressive social activism. The latest filing seeks to amend that complaint.
Ben & Jerry’s attorney Shahmeer Halepota criticized Unilever’s “revisionism,” stating the “true disappointment” was the attempt to remove Stever for maintaining Ben & Jerry’s values.
Unilever countered with a motion to dismiss the earlier complaint, expressing disappointment about “the confidentiality of an employee career conversation” becoming public while asserting the 2000 agreement governs CEO removal decisions.
Corporate Activism Under Scrutiny
Doug Chia of Soundboard Governance observed that the censorship allegations reflect corporate fears of the Trump administration’s “crusade against all things DEI.”
“For a corporation, they don’t want to take any chances on any statements about any social issue or political issue or geopolitics,” Chia said.
He noted Ben & Jerry’s positions push “very far in a progressive direction in a very vocal way,” more like advocacy organizations than typical food companies.
Business Restructuring Ahead
Unilever plans to spin off its ice cream brands, including Ben & Jerry’s, Breyers, and Magnum, later this year as part of a broader simplification of its product portfolio. This corporate reshuffling comes as many companies retreat from social positions considered too liberal by the current administration.
The case continues as Ben & Jerry’s Homemade Inc v Unilever et al, U.S. District Court, Southern District of New York, No. 24-08641.
