Sysco Gets New Law Head Amid Burford Litigation Finance Saga (2)

Sysco Corp., the world’s largest food distributor, has appointed Illinois Tool Works Inc.’s general counsel Jennifer Kaplan Schott to be its new chief legal officer as of April 1.

Schott, who began her career as a Big Law litigator in Chicago, will join Sysco after more than two decades in the corporate legal world. She steps into a top legal role at Sysco that was vacated a month ago by Eve McFadden, the company’s general counsel since 2019.

Schott’s new posting makes her one of nearly a dozen lawyers Sysco has brought on for internal functions within the past year, according to an analysis of public profiles, press releases, and bar registries. Schott’s hire comes as Sysco’s long-running dispute with third-party litigation financier Burford Capital Ltd. appears to have neared its end.

A statement from Houston-based Sysco said Schott would lead its legal and company secretary, ethics and compliance, and communications and government affairs teams. McFadden, Schott, and Sysco didn’t respond to requests for comment about the legal chief change.

Sysco CEO and board chair Kevin Hourican, who joined the company last year, said Schott’s “extensive experience across multiple fields of law, and in complex multinational businesses, make her the ideal leader to join us.”

Schott has been general counsel at ITW, a Chicago-based manufacturer, since 2021. She previously was a deputy general counsel at construction equipment manufacturer Caterpillar Inc. and spent more than 16 years at Discover Financial Services, where she held a variety of jobs, including director of litigation, chief of staff to the general counsel, and head of the public company team.

“While Sysco has had a few high-profile litigation matters, the industry is generally pretty light on litigation, and it would be unusual for Sysco or any other company in our industry to hire someone purely for their litigation talents,” said Russell Libby, a former Sysco legal chief who retired in 2019. Libby said the company was looking for someone in Schott with an “excellent record” and the ability to be a “strong partner with the executive team and board.”

Schott didn’t make ITW’s list of five highest-paid executives for the most recent fiscal year. Sysco, which services health care and educational facilities, hotel managers, and restaurants, also didn’t name McFadden among its top paid C-suite executives for 2024, according to a proxy filing. Bloomberg data shows that McFadden owns almost $3.6 million in Sysco stock after selling off more than $820,000 in company shares last year.

McFadden said in a recent LinkedIn post that she was “off to new adventures in 2025” after more than 16 years at Sysco. “I am eternally grateful to the colleagues I’ve met along the way,” she said. “I consider myself extremely lucky to be able to shift my priorities at a critical period in life for my family, and I would not have this opportunity if not for my time at Sysco.”

Sysco’s hired a half-dozen assistant general counsel and installed lawyers in other executive roles over the last year, including chief compliance officer Justin Ross, who came aboard in mid-2024 after holding the same title at FedEx Corp.

A few other lawyers have left Sysco’s legal ranks, including Barrett Flynn, a former associate general counsel for litigation, regulatory, and transactions who had responsibility for the company’s relationship with Burford, per court filings. Flynn spent 11 years at Sysco before joining U-Haul International Inc. as an assistant general counsel in 2023; he didn’t respond to a comment request.

Sysco’s fight with Burford stems from $140 million in financing that Burford gave it to bring antitrust cases against major meat and poultry producers, including Brazil’s JBS SA. Sysco and Burford resolved their differences, which arose from Sysco’s claim that Burford sought to prevent it from settling some cases in order to hold out for more lucrative terms. Burford says the matter is now behind it.

“Today there is no active litigation or arbitration between Sysco and Burford, and Sysco has assigned the entirety of its antitrust claims to Burford,” the publicly traded litigation financier said.