Kroger’s CEO Exit Details May Surface in Jewel Lawsuit

New York, NY — Kroger’s former CEO Rodney McMullen abruptly resigned in March after nearly five decades with the company. His departure followed an internal investigation into his personal conduct, leaving behind questions and $11 million in unvested stock options. Now, a lawsuit involving singer-songwriter Jewel could provide some answers.

The legal action, stemming from a wellness festival partnership, alleges that Kroger breached its contract with a company co-owned by Jewel. Although McMullen is not a defendant in the case, he has been identified as a witness. Under pressure, he and his lawyer declined to discuss the reasons behind his resignation during a deposition, labeling the topic as “embarrassing” in court documents.

An Ohio judge has ordered McMullen to provide a written response regarding his resignation by August 8, which must include the names of those involved. “There will be incredible consequences if this ever gets out,” McMullen’s attorney, Jeffrey Hinebaugh, warned in court.

The plaintiffs argue that such inquiries are routine and critical to shedding light on Kroger’s corporate culture. Brian O’Connor, a lawyer for the plaintiffs, expressed satisfaction with the court’s decision, stating, “We respect the court’s thoughtful ruling, and we’re pleased that the court is not giving Mr. McMullen a free pass.” A trial is scheduled to begin in May 2026.

The lawsuit centers around the “Wellness Your Way” festival, an event conceived by Jewel and Trevor Drinkwater, CEO of Inclusion Companies. Their partnership with Kroger started in 2018. According to the lawsuit, the festivals ran until 2021, during which Jewel performed numerous times. However, complications arose when Kroger replaced the partnership with a company managed by an executive’s sister, which the plaintiffs claim breached company ethics policy.

Legal filings indicate that the plaintiffs incurred losses of $2 million and missed profits of at least $5 million following this change. Following his resignation, McMullen had an SEC filing revealing he earned $15.7 million in 2023, while his departure meant forfeiting $11 million in unvested stock and options.