The
Vermont ice cream maker says that Unilever "covertly" moved its
trademarks to a Unilever business unit in 2000 and 2001, a move
that violated a merger agreement with the consumer goods
conglomerate. The maker of Chubby Hubby ice cream only learned
about the move from recent court filings, according to the
lawsuit.
Ben & Jerry's originally filed the lawsuit against a Unilever
subsidiary in July to try to block the sale of its business in
Israel and the West Bank to a local licensee, Avi Zinger.
The ice cream maker announced last year that it no longer wanted
to sell its products in the occupied West Bank because it was
inconsistent with its values. Ben & Jerry's products have been
for sale in Israel for decades.
A judge in August rejected Ben & Jerry's bid to immediately stop
sales in Palestine, saying the manufacturer did not show it
would suffer irreparable harm.
In the updated lawsuit filed late on Friday, Ben & Jerry's added
London-based Unilever as a defendant and said it is seeking
damages and wants the trademarks returned. The company also
asked a judge to stop Zinger from selling the ice cream in the
West Bank.
Unilever has "actively attempted to undermine" Ben & Jerry's
independent board by refusing to disburse revenue from the
ice-cream maker to charities, eliminating jobs affecting product
mission and marketing products without its approval, Ben &
Jerry's said in the lawsuit.
The row with Ben & Jerry's has been a test of Unilever's
commitment to giving its brands a social purpose.
When Unilever acquired Ben & Jerry's more than 20 years ago, the
ice cream maker, known for its left-leaning politics, kept
control of its social mission in a shareholder agreement which
it says is now being eroded.
Unilever has said it retained the right to make operational
decisions for Ben & Jerry's, and that the sale of the Israeli
business could not be undone because it has irrevocably closed.
(Reporting by Jessica DiNapoli in New York; Editing by Daniel
Wallis)
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