Judge Dismisses Most Claims in Ben & Jerry's Lawsuit Against Unilever
A federal judge in Manhattan dismissed most of Ben & Jerry's lawsuit against Unilever and its spin-off Magnum, ruling that the merger agreement did not grant the ice cream maker's independent board or foundation the right to sue over governance or social activism censorship. However, claims regarding a 2022 settlement over trademark rights in Israel—including unpaid funds for Ben & Jerry's and Palestinian almond farmers—were allowed to proceed. The ruling largely upholds Unilever's corporate control.
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Magnum Welcomes Pruning of Ben & Jerry's Lawsuit
Magnum Ice Cream Company, the Amsterdam-based spin-off from Unilever, welcomed a US federal court decision that significantly narrowed a lawsuit brought by former Ben & Jerry's independent directors. Judge Kevin Castel of the Manhattan federal court dismissed seven of ten counts and trimmed another, ruling that Magnum should replace Unilever as the main defendant. The lawsuit accused Unilever and Magnum of breaching commitments from the 2000 acquisition of Ben & Jerry's, which had protected the brand's board structure, social mission, and foundation. Two claims remain in full, related to missed payments under a 2022 settlement over Ben & Jerry's trademark rights in Israel, and a partial claim on an ongoing governance dispute. Magnum stated the decision demonstrates the former directors had no right to sue on behalf of Ben & Jerry's, which it says is thriving under its ownership. The dispute stems from years of tension over Ben & Jerry's board independence and activism, including its stance on the occupied West Bank.
Magnum Welcomes US Court Decision Narrowing Ben & Jerry's Lawsuit
A US federal judge in Manhattan has dismissed most claims in a lawsuit brought by former Ben & Jerry's independent directors against Magnum and Unilever. Judge Kevin Castel threw out seven of ten counts and trimmed another, ruling that Magnum, the Amsterdam-based ice-cream company spun off from Unilever, should be the main defendant. The lawsuit alleged breaches of commitments from Unilever's 2000 acquisition of Ben & Jerry's, including protections for the brand's social mission and board structure. Magnum welcomed the decision, stating it demonstrates the former directors had no right to sue on behalf of Ben & Jerry's. Two claims remain in full regarding previous settlement agreements, including a 2022 settlement over Ben & Jerry's trademark rights in Israel. A partial claim on an ongoing governance dispute also survives. The case stems from tensions over Ben & Jerry's board independence and activism, including its stance on the occupied West Bank.
Judge Dismisses Most of Ben & Jerry's Lawsuit Against Unilever Over Social Mission
A federal judge, Kevin Castel of the Southern District of New York, dismissed major portions of a lawsuit filed by Ben & Jerry's against its former parent company Unilever. The ice cream maker had accused Unilever of violating the 2000 merger agreement by censoring its social activism, including protests against the war in Gaza and planned criticism of President Donald Trump, and by dismantling its independent board. The judge ruled that the merger agreement's plain language did not grant Ben & Jerry's independent directors or its foundation the right to sue over board appointments or removals. However, claims related to a 2022 settlement over the sale of trademark rights in Israel were allowed to proceed, including allegations that Unilever failed to pay $2.5 million to Ben & Jerry's and $2 million to support Palestinian almond farmers. The ruling largely upholds Unilever's control over the brand's governance while leaving some contractual disputes unresolved.
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Judge Dismisses Major Parts of Ben & Jerry's Lawsuit Against Unilever Over Social Mission
A federal judge, Kevin Castel, dismissed major portions of a lawsuit filed by Ben & Jerry's against its former parent company Unilever. The lawsuit alleged Unilever violated the 2000 merger agreement by censoring the ice cream maker's social activism, including protests against the war in Gaza and planned criticism of President Donald Trump, and by ousting a CEO who supported such activism. Judge Castel ruled that the merger agreement's plain language did not grant Ben & Jerry's independent directors or its foundation the right to sue over board appointments and removals. However, claims related to a 2022 settlement over the sale of trademark rights in Israel, including allegations that Unilever failed to pay $2.5 million to Ben & Jerry's and $2 million to support Palestinian almond farmers, were allowed to proceed. The ruling centers on contract interpretation regarding the company's social mission and governance structure.
Judge Dismisses Most of Ben & Jerry's Lawsuit Against Unilever Over Social Mission
A federal judge, Kevin Castel, dismissed major portions of a lawsuit filed by Ben & Jerry's against its former parent company, Unilever. The lawsuit alleged Unilever violated the 2000 merger agreement by censoring the ice cream maker's social activism, including protests against the war in Gaza and planned criticism of President Donald Trump, and by dismantling its board. Judge Castel ruled that the merger agreement's 'plain meaning' did not grant Ben & Jerry's independent board or its foundation the right to sue over director appointments or removals. However, claims related to a 2022 settlement over trademark rights in Israel, including missed payments of $2.5 million to Ben & Jerry's and $2 million to support Palestinian almond farmers, were allowed to proceed. The case highlights ongoing tensions between Ben & Jerry's social mission and Unilever's corporate control.