Ben & Jerry’s Battles Unilever Over CEO’s Removal and Free Speech

Ben & Jerry’s has accused its parent company, Unilever (LON:ULVR), of ousting CEO Dave Stever for allowing the brand to voice its social activism. In a Manhattan federal court filing, the Vermont-based ice cream maker alleged that Unilever removed Stever without board approval, violating their 2000 acquisition agreement. The complaint claims Unilever repeatedly pressured employees to curb Ben & Jerry’s social advocacy.

Stever, who joined as a tour guide in 1988, became CEO in May 2023. Ben & Jerry’s, known for its progressive stance, has supported causes like the Gaza war protests and police defunding. The company sued Unilever in November to block alleged attempts to dismantle its board and suppress activism.

Unilever, seeking case dismissal, countered that it supports Ben & Jerry’s advocacy but criticized its stance on divisive political issues. The dispute intensified after Ben & Jerry’s decision in 2021 to halt sales in Israeli-occupied territories. Unilever later sold that business.

Ben & Jerry’s lawyer, Shahmeer Halepota, condemned Unilever’s actions, arguing they punish Stever for upholding the brand’s integrity. Governance expert Doug Chia suggested Unilever’s stance reflects corporate fears amid political shifts, particularly regarding diversity and inclusion policies.

Unilever, set to spin off its ice cream brands, insists it followed the 2000 agreement in its personnel decisions. It also denied banning Ben & Jerry’s from criticizing former U.S. President Donald Trump, instead advocating for balanced statements. Despite the legal battle, Ben & Jerry’s website still lists Stever as CEO.

The case, Ben & Jerry’s Homemade Inc v Unilever, is ongoing in the U.S. District Court, Southern District of New York.