Ebay and Ex-Executives Settle Harassment Lawsuit
Online marketplace and former leaders agree to pay $55.7m to a couple targeted in a cyberstalking campaign.
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Ebay and three former senior executives have reached a $55.7m settlement to resolve a lawsuit brought by a Massachusetts couple who were targeted in a cyberstalking and harassment campaign. The campaign was carried out by several company employees in retaliation for critical reporting about the e-commerce firm in a newsletter published by the couple.
The Harassment Campaign
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David and Ina Steiner announced the settlement on Monday, concluding a case filed in 2021. The lawsuit followed the prosecution of several former eBay employees for their involvement in a cyberstalking scheme. This scheme included sending the couple live cockroaches, fly larvae, and a bloody Halloween pig mask. The perpetrators also travelled from California to Natick, Massachusetts, to surveil the Steiners and attempted to place a GPS tracking device on their vehicle, as reported by The Guardian.
The aim of the campaign, according to prosecutors, was to silence the Steiners after senior executives deemed their newsletter, EcommerceBytes, overly critical of the company. Evidence presented indicated that the campaign escalated after the then-CEO, Devin Wenig, sent a text message in August 2019 to Steve Wymer, then chief communications officer, stating it was time to “take her down”, referring to Ina Steiner, as detailed by prosecutors and the Steiners.
Settlement Details and Executive Contributions
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Under the terms of the settlement, Ebay will pay $46.15m directly to the Steiners. The company will also fund $6m in charitable contributions to non-profit organisations and issue a strong statement regarding the conduct of three former top executives. Ebay stated that what happened to the Steiners was “wrong, reprehensible and should never have happened” and offered its deepest apologies, as reported by The Guardian.
Former CEO Devin Wenig, who stepped down in September 2019, will personally pay the couple $2m and donate $1m to a charity focused on protecting first amendment rights, to be made in Ina Steiner's name. Wenig stated that he was saddened by the events, which occurred during his tenure, and that the behaviour was antithetical to his principles. His lawyers have previously argued he had no knowledge of or involvement in the harassment, suggesting his messages advocated for a public relations strategy. Wendy Jones, former senior vice-president of global operations, and Steve Wymer, former chief communications officer, will pay the couple $500,000 and $50,000 respectively. Additional settlements have been reached with all other eBay employees named in the lawsuit, according to the Steiners’ legal team.
Previous Prosecutions
Seven former eBay workers have previously pleaded guilty for their participation in the scheme and have received prison sentences, some as long as 57 months. Ebay itself was criminally charged and agreed in 2024 to pay a $3m fine, the source material states.
Questions this report answers
+How much will the settlement cost eBay and the executives?
The total settlement amounts to $55.7m, with eBay paying $46.15m directly to the Steiners and funding $6m in charitable contributions. Former CEO Devin Wenig will personally pay $2m and donate $1m to charity, while other executives contribute smaller sums as part of the agreement.
+What did the cyberstalking campaign involve?
The campaign included sending disturbing packages like live cockroaches, fly larvae, and a bloody Halloween pig mask to the Steiners. Perpetrators also travelled to surveil them, attempted to place a GPS tracker on their car, and sent threatening messages after critical reporting about eBay.
+Who is affected by this settlement?
The settlement primarily affects the Steiners, who were the victims of the harassment, and eBay, along with its former executives involved in the campaign. Seven former employees have already served prison sentences, and eBay itself faced a separate $3m fine for criminal charges.
+What happens next after this settlement?
The settlement concludes the lawsuit filed by the Steiners in 2021, but eBay has issued a strong statement condemning the conduct and apologising. The company and executives will pay the agreed amounts, while additional settlements have been reached with all other named employees.
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