Ben & Jerry’s Battles Unilever Over CEO Ouster and Social Mission

Ben & Jerry’s has accused its parent company, Unilever (LON: ULVR), of removing CEO Dave Stever over his commitment to the ice cream brand’s social activism. In a legal filing in Manhattan federal court, Ben & Jerry’s claimed Unilever dismissed Stever on March 3 without consulting its independent board, citing his support for the company’s social mission rather than performance concerns.

The ice cream brand said Unilever criticized Stever in a January review for allowing the company to promote social causes and has sought to suppress its activism. Allegations include blocking Ben & Jerry’s from honoring Black History Month and preventing support for Mahmoud Khalil, a U.S. legal resident detained for pro-Palestinian activism.

The dispute traces back to 2021 when Ben & Jerry’s halted sales in the Israeli-occupied West Bank, later leading to a business sale. More recently, the company alleged Unilever banned it from publicly criticizing Donald Trump, citing political dynamics.

Stever, who started as a Ben & Jerry’s tour guide in 1988, was appointed CEO in May 2023. His job status remains unclear. The lawsuit aims to prevent Unilever from dismantling Ben & Jerry’s independent board and curbing its activism.

Unilever, planning to spin off its ice cream brands—including Ben & Jerry’s, Breyers, and Magnum—has not commented on the allegations. The case, Ben & Jerry’s Homemade Inc v Unilever Plc et al, is being heard in the U.S. District Court for the Southern District of New York.

Since its founding in 1978, Ben & Jerry’s has been known for its progressive values. However, as Unilever streamlines its portfolio, the clash over corporate independence and social responsibility intensifies.