Suspended CEO Arthur T. Demoulas and the board of directors of Market Basket recently met for a mediation session in Delaware, but as of Thursday afternoon, no resolution has been announced. The meeting, which was the culmination of months of public dispute, was characterized by a notable silence from both parties, leaving many observers uncertain about the outcome.
The mediation took place following a lengthy corporate saga, marked by intense media scrutiny and conflicting public statements. Harvey Wolkoff, an attorney from Quinn Emanuel Boston, indicated prior to the session that the mediation was scheduled for one or two days, but it remains unclear if further discussions will take place. Specific details regarding the timing and proceedings of the mediation have not been disclosed, as both parties opted for confidentiality.
A significant backdrop to this meeting involves a long-standing family conflict among the Demoulas siblings. Arthur T. Demoulas and his three sisters—Frances Demoulas Kettenbach, Glorianne Demoulas Farnham, and Caren Demoulas Pasquale—each hold a stake in the company after purchasing it for $1.6 billion following a previous conflict that led to Arthur T.‘s removal from the CEO position in 2014. Boycotts and protests had erupted at that time, emphasizing the public’s support for Arthur T..
Unlike the 2014 incident, where Arthur T. was dismissed outright, he is currently on paid administrative leave pending an investigation that began on May 28. Other executives aligned with him have faced similar treatment, with some alleging they were dismissed for supporting Arthur T.—a claim the board has denied.
The board’s dynamics have shifted significantly in recent months. In July, two executives, Joe Schmidt and Tom Gordon, were officially terminated, following their placement on leave alongside Arthur T.. A judge later barred them from entering any Market Basket locations, further complicating the situation. Additionally, last month saw the removal of Bill Shea, the last ally of Arthur T. on the board, following the earlier dismissal of Terry Carleton in January. This has left the board with just three members: Steven Collins, Michael Keyes, and Chair Jay Hachigian.
As the mediation wraps up without a clear path forward, the future of Market Basket remains uncertain. The board’s ongoing investigation and the internal strife among the Demoulas family are likely to continue to be closely watched by stakeholders and customers alike.
