The founders of ice cream maker Ben Jerry's said on Sunday that the parent of Unilever PLC is in violation of the 2000 merger deal over the sale of Ben Jerry's business in Israel to a local licensee who could sell their products in the West Bank.
The independent board of Ben Jerry's gave authority over the social mission after that agreement. In a televised interview, Ben Cohen said that Unilever has reversed the decision that was made and we can't sit idly by because we can't sit idly by.
Jerry Greenfield said the agreement is legally binding and needs to be adhered to.
Unilever said that it retained the right to make operational decisions for Ben Jerry's, and that the sale could not be undone because it has irrevocably closed.
In a statement from Ben Jerry's earlier this month, the company said it plans to amend its suit challenging Unilever's sale of the Israeli business in Federal Court in Manhattan. In July 2021, the Burlington, Vermont based company decided to stop selling in Israeli-occupied Palestinian territories, calling it inconsistent with the progressive values and social mission it retained the right to promote.
The decision resulted in a backlash against Unilever, including divestments by pension funds from the consumer goods company and accusations of anti-Semitism by some Jewish groups.