Ben & Jerry's has filed a lawsuit against its parent company, Unilever, alleging that it has been silenced regarding its stance on the Gaza conflict and Palestinian refugees.
The ice cream brand claims that Unilever has obstructed its attempts to publicly advocate for peace and human rights and has threatened legal action against its members.
The current legal action claims that Unilever has breached the terms of the settlement reached in 2022.
The rift between Ben & Jerry's and Unilever began in 2021 when the ice cream maker announced it would cease sales in the Israeli-occupied West Bank.
This decision led to backlash from some investors, prompting them to divest from Unilever.
Ben & Jerry's initiated legal action against Unilever for selling its business in Israel to a local licensee, which allowed operations to continue in both Israel and the West Bank.
Ben & Jerry's alleges that it has been silenced by Unilever on multiple occasions when attempting to express support for humanitarian causes.
The independent board of Ben & Jerry's has also faced restrictions from Unilever.
The lawsuit cites concerns raised by Unilever's head of ice cream regarding the potential perception of anti-Semitism if the brand were to voice its opinions on the Gaza situation.
The ongoing tensions between Ben & Jerry's and Unilever could complicate the planned spin-out of Unilever's ice cream business.
The situation could impact the valuation of Unilever's ice cream brands, as potential buyers may be wary of the implications of Ben & Jerry's social mission on sales and brand perception.
The outcome of this legal dispute could have implications for the future of socially responsible brands operating under larger corporate umbrellas and for the broader conversation surrounding corporate accountability.