Ben & Jerry's told CNN Business would not comment on the lawsuit. Unilever didn't immediately respond to comment on the lawsuit.
The Vermont-based ice cream company, which has been doing business in Israel since 1987, has come under scrutiny for its relationships in Israel in recent years as tensions in the region have flared. Critics have taken the company to task for doing business in Israel — especially in West Bank settlements, considered illegal under international law — arguing it doesn't align with Ben & Jerry's liberal image.
The company had been mostly silent on the topic. In 2015, Ben & Jerry's posted on its website that it was "keenly aware of how complex the local market can be," and it believed it could affect positive change by maintaining a presence in the region.
But the company had a change of heart in July 2021, saying it heard and recognized the concerns shared by its fans and partners, opting to get out of making ice cream in Israel and selling in the Palestinian territories altogether.
The decision sparked a backlash in the country, including from Prime Minister Naftali Bennett who said that Ben & Jerry's has decided to brand itself as the "anti-Israel ice cream."