Judge dismisses major parts of Ben & Jerry's lawsuit against Unilever over social mission

Published Aug 24, 04:12 PM UTC

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.