Ben & Jerry says parent company Unilever has illegally fired CEO David Stever in conflicts that include the brand’s social mission and over stance on biased political issues.
In an amended complaint filed late Tuesday in the Southern District of New York, the ice cream brand known for its outspoken views on human rights and the environment, said the layoff of UK-based Unilever’s Stever violated a merger agreement that prevented the unilateral removal of Ben & Jerry CEOs.
The 2000 contract states that, according to a Vermont complaint, the removal of the CEO “may only occur after good faith consultation and participation with the Advisory Committee of the Advisory Committee of the Company’s Committee. The Independent Committee said it was established to communicate the brand’s social mission and brand identity.
Continuous conflict
Ben & Jerry’s Independent Committee and Unilever have consistently clashed over the brand’s general attitudes on social issues. In 2022, Ben & Jerry’s sued Unilever stopped the company from halting its products on the occupied West Bank. Later federal judge The request has been rejected.
“For more than 40 years, the company has pursued its own social mission through its public and progressive stance on issues such as immigration justice, LGBTQ+ rights, Black Lives Matter, GMO labeling, and various other economic and social causes that affect historically marginalized communities,” the complaint states. “Unilever repeatedly halted Ben & Jerry’s social mission in a direct violation of the settlement agreement.”
The exiled CEO, Stever, is a 34-year veteran who began his career as a tour guide in 1988, according to the Ben & Jerry website. Before taking on the role of CEO, he served as the company’s chief marketing officer for 12 years. His appointment to Top Post marked the first time that staff had been promoted to CEO from within the company.
The first Ben & Jerry lawsuit filed in November 2024 accused Unilever of blocking him from speaking out in support of Palestinian refugees, thereby engaging in “inappropriate shootings.” According to the complaint, Unilever threatened with “Ben & Jerry officials if Unilever speaks up about issues that he likes to censor.”
On March 3rd, Unilever took steps to remove and replace Stever as CEO. The lawsuit argues that it is not a performance issue, but Unilever’s “motivation to remove Mr. Stivar is Ben & Jerry’s commitment to social mission and essential brand integrity and willingness to work together in good faith with the Independent Committee.”
Neither Unilever nor Ben & Jerry responded to CBS Moneywatch requests for comment.