eBay Agrees To $56 Million Payout After 2019 Harassment Campaign Targeted Small Newsletter

eBay and several former company officials have agreed to pay about $56 million to settle a lawsuit filed by the operators of a long-running e-commerce newsletter who say they were the victims of an orchestrated intimidation campaign in 2019. The agreement resolves a civil case that accused high-level employees of trying to silence critics with threats and harassment.

The plaintiffs, the couple behind the EcommerceBytes newsletter, say their critical coverage of the marketplace drew the ire of certain executives. Records and court filings detail a coordinated effort that used fake social-media profiles, anonymous letters and disturbing packages sent to the couple’s home. The mailed items included live insects, sexually explicit magazines, a bloodied animal mask, a wreath resembling one used at funerals and a book about coping with the death of a spouse.

Internal messages reviewed by investigators reportedly show other schemes were discussed, including attaching a tracking device to the couple’s vehicle and arranging for a group to visit their residence. Federal prosecutors charged seven former employees in 2022; several pleaded guilty. Among those convicted was the company’s one-time head of security, who received a sentence of almost five years behind bars. Other named defendants in the case included former executives and a contractor.

Under the settlement terms, eBay will pay roughly $46.15 million, while several former executives will contribute the remainder: about $2 million from ex-CEO Devin Wenig, $500,000 from former executive Wendy Jones and $50,000 from Steve Wymer, with additional sums earmarked for nonprofit organizations. The agreement closes the 2021 civil suit brought by the couple and ends the possibility of further civil litigation over those claims.

eBay issued a statement saying the conduct of the implicated employees was unacceptable and not aligned with the company’s values, offering apologies to the victims and saying the settlement represents an effort to address the harm. Former employees who were criminally prosecuted admitted wrongdoing in separate proceedings, the company noted.

One of the Steiners’ lawyers said his clients sought more than monetary relief, aiming to expose what happened, hold those responsible to account and discourage similar behavior by other businesses. A media-law expert not involved in the case observed that large financial penalties can push firms to strengthen internal oversight, but added that proactive cultural change and stronger governance are needed to prevent abuses from recurring.