eBay agrees to $56M settlement in harassment case

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1–2 minutes

Summary

eBay, former employees agreed to pay $56 million to settle a civil case over a 2019 harassment campaign targeting EcommerceBytes publishers.

Why this matters

The settlement closes a closely watched case involving corporate retaliation against independent publishers and follows criminal convictions of former eBay employees. It also underscores the legal and financial consequences of harassment tied to corporate misconduct.

eBay and several former employees agreed to pay $56 million to Ina and David Steiner, the couple behind the newsletter EcommerceBytes, to settle a 2021 civil case over a 2019 harassment campaign.

According to previously released court documents, the Steiners drew criticism from senior eBay executives after publishing coverage that was at times critical of the company. Prosecutors said former employees then carried out a campaign to intimidate the couple.

The former employees used fake social media accounts to harass the Steiners and sent anonymous threatening letters and items to their home, including live spiders and cockroaches, pornographic magazines, a pig mask, a funeral wreath, and a book about surviving the death of a spouse.

Court documents also said one plan involved placing a GPS tracking device on the couple’s car, though it was not carried out. Another plan discussed internally involved sending a “Samoan gang” to the Steiners’ home.

The Steiners’ law firm said the settlement included $46.15 million from eBay and $2 million from former eBay Chief Executive Devin Wenig. It said former eBay executive Wendy Jones would pay $500,000, and former eBay executive Steve Wymer would pay $50,000. Additional funds will go to nonprofits.

In 2022, seven former eBay employees were criminally charged and pleaded guilty in the case, including former security chief James Baugh, who was sentenced to nearly five years in prison. Others charged by the U.S. Department of Justice were David Harville, Brian Gilbert, Stephanie Popp, Stephanie Stockwell, Philip Cooke, and former eBay contractor Veronica Zea.

In a statement published Tuesday, eBay said the conduct was “not representative of eBay’s culture.”

“As we have long stated, what the Steiners were subjected to by former eBay employees in 2019 was wrong, reprehensible and should never have happened,” the company said. “We condemn, in the strongest terms possible, the employees who perpetrated and pled guilty to criminal charges for the misconduct against Ina and David Steiner.”

“We continue to extend our deepest apologies to the Steiners. This agreement is consistent with our commitment to fairly compensate the Steiners and fulfills our efforts to make things right.”

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