Eugene Kontorovich (WSJ, link via tweet): Ben & Jerry’s Israel Boycott Could Cost Unilever
Ben & Jerry’s knew this was an offer the licensee had to refuse. Parts of what the company calls “occupied Palestinian territory” Israel (as well as the U.S.) considers sovereign Israeli territory. Israeli law bars boycotts of Israeli citizens, Jewish or Arab, based on their location. So Unilever cancelled the Israeli Ben & Jerry’s entirely because it wouldn’t engage in a secondary boycott.
Because Ben & Jerry’s is a wholly owned subsidiary of Unilever, the latter is responsible for its boycott. In the past eight years, 33 American states have passed laws that restrict government contracting or investing in companies that boycott Israeli people or businesses. These laws are modeled on similar restrictions on companies that discriminate on other grounds, such as sexual orientation.
This means that, in about a dozen states, state employees’ pension funds will be barred from investment in Unilever. In many other states, government entities will be barred from buying goods or services from Unilever. Moreover, since the 1970s, federal law has banned U.S. companies from participating in foreign boycotts of any country. If it turns out that the Palestinian Authority contacted Ben & Jerry’s or its officers and asked them to boycott, criminal penalties would be available against Unilever.
Ben & Jerry’s suggests that its action is motivated by the Israeli “occupation.” But the company seems to have decided to end its Israel business in May, when Hamas unleashed a 10-day rocket barrage on Israeli civilians. Ben & Jerry’s has not boycotted anyone but the Jewish state. And that is what the state and federal boycott laws recognize—that refusals to deal with Israelis are most often a form of bigotry.
My op-ed in the @WSJ on legal consequences of attempt by @unilever @benandjerry to pressure Israeli business into participating in a secondary boycott: https://t.co/6cYD95WoOU
— Eugene Kontorovich (@EVKontorovich) July 21, 2021
I'm guessing that as we speak, far-left groups are trying to talk @benandjerrys in to being their guinea pigs in litigation to challenge state anti-BDS laws. But B&J lawyers unlikely to risk discovery that would show how the social justice sausage gets made.
— Eugene Kontorovich (@EVKontorovich) July 22, 2021
Legal Fallout: Is Ben & Jerry’s Israel Boycott Only a Free Speech Issue?
'Insider' links Ben & Jerry's to activist kicked out of Israel
Ben & Jerry’s announcement on Monday that it would stop selling its ice cream in Judea and Samaria, caving in to pressure from BDS, had many people wondering who was advising the Vermont-based company.
Constitutional & international law professor Eugene Kontorovich, who is an expert on legal issues in the Israeli-Arab conflict, said on Twitter that he had a “scoop” on the company’s decision.
“SCOOP (on Ben & Jerry’s): I’ve been told by (a Ben & Jerry’s) insider that company's board invited Omar Shakir, a professional BDS activist, to advise them, rejected calls to hear experts on other side. This ain't about the settlements,” he tweeted.
In a response to Kontorovich’s tweet, NGO Monitor said, “Not surprising since Omar Shakir was kicked out of Israel for being a BDS activist. First he pressured FIFA, then airbnb, and now Ben & Jerry’s. His entire ‘human rights’ career has been devoted to pressuring companies to boycott Israel.”
In 2019, Shakir, who was the regional director of Human Rights Watch in Israel, was deported from Israel after a court ruled he had promoted the BDS movement’s agenda.
Not surprising since @OmarSShakir was kicked out of Israel for being a BDS activist.
— NGO Monitor (@NGOmonitor) July 22, 2021
First he pressured FIFA, then airbnb, and now @benandjerrys.
His entire "human rights" career has been devoted to pressuring companies to boycott Israel.
Read more: https://t.co/DUoyu534Yl https://t.co/UzaDongpIg
96.9% believe Ken Roth is antisemitic.
— Hillel Neuer (@HillelNeuer) July 21, 2021
76.3% believe Ken Roth is a big antisemite.
Only 3.1% do not believe Ken Roth is antisemitic.
More than a thousand people worldwide participated in the poll.https://t.co/2tezcNQKe9 pic.twitter.com/CnLQyv8F05
Richard Goldberg: Double Scoops and Double Standards Courtesy of Ben & Jerry's
In addition to its classic double scoops, Vermont-based ice cream producer Ben & Jerry's is now offering a calorie-rich serving of double standards, too. The Ben & Jerry's brand, owned and operated by Unilever, announced on July 19 that it would terminate its license agreement with an Israeli-based manufacturer to ensure its products "will no longer be sold" in the "Occupied Palestinian Territory." Unilever cut off the longstanding licensee after it refused to halt sales in the disputed territories, which reportedly would violate Israeli law. In short, Unilever engaged in a boycott of Israel as defined by state and federal law, which means the company may soon be facing penalties that eat into its profits.
Unilever is a British multinational consumer goods company headquartered in London, U.K. It has annual revenues of $61 billion (£45 billion) and its products are available in over 190 countries. It also maintains corporate offices in numerous human rights-abusing countries, including China, Pakistan, Russia, Saudi Arabia, Turkey, Venezuela, Vietnam and Zimbabwe. Unilever is reportedly a major purchaser of tomato paste from state-owned factories in China's Xinjiang region, where the U.S. State Department says China is engaged in "horrific abuses." In January 2021, the U.S. government halted the import of all such tomato paste into the U.S., citing the use of forced labor that amounted to "exploiting modern slavery." Yet neither Unilever nor Ben & Jerry's appears to have ever taken action against China's massive human rights violations in Xinjiang.
It is difficult to say why Unilever shows greater concern for the sale of ice cream in West Bank settlements than it does for the exploitation of forced labor in Xinjiang, yet the company's board members and senior executives have a lengthy record of criticizing the Jewish state. Jeff Furman, the president of the Ben & Jerry's Foundation's board and former chair of the corporate board, visited the West Bank in 2012 on a tour organized by an activist group that advocated for boycott, divestment and sanctions (BDS) against Israel. Furman also signed a letter that condemned Israeli military operations in Gaza, but conspicuously never mentioned Hamas—the terrorist outfit that runs Gaza. Furthermore, he has called for the end of U.S. aid to Israel and has falsely claimed that Palestinians endure "apartheid living conditions."
Anuradha Mittal, Furman's replacement as corporate board chair, has similarly demonstrated her selective emphasis on the Israeli government's actions. The Oakland Institute, which she directs, produced a series of nine reports condemning Israel in 2017. Mittal announced that she deleted her Airbnb account in May 2019 after Airbnb reversed its own short-lived boycott of Israel. Moreover, she publicly opposed a congressional resolution condemning anti-Semitism and signed a petition in June 2021 calling to end U.S. arms sales to Israel.
The Ben & Jerry's independent board distanced itself from the brand's July 19 announcement—objecting to a clause stating that Ben & Jerry's would continue operating in "pre-1967" Israel and reasserting its autonomy to make "social justice" decisions under its 2000 merger agreement. This underscores that Unilever does indeed share responsibility for the boycott decision. Unilever's release of the boycott announcement under the Ben & Jerry's brand—and its admission that Unilever, not Ben & Jerry's, will be the corporate entity that cuts off the Israeli licensee—demonstrates that the parent company has ultimate control over Ben & Jerry's operations.