EBay Reaches $56M Settlement with E-Commerce Newsletter Writers it Terrorized in 2019

In a shocking turn of events, eBay, the e-commerce giant, has reached a $56 million settlement with Ina and David Steiner, the couple behind the popular e-commerce newsletter, EcommerceBytes. The settlement brings an end to a harrowing ordeal that began in 2019, when the Steiners found themselves at the receiving end of a vicious intimidation campaign concocted by high-level eBay executives.

The Steiners, who have been publishing EcommerceBytes since 1999, had occasionally criticized eBay in their newsletter, which covers the e-commerce industry and provides news, reviews, and analysis to its readers. Their critiques, however, did not sit well with eBay’s top brass, who viewed the Steiners as a threat to the company’s reputation.

In 2019, a group of eBay executives, including the company’s then-CEO, Devin Wenig, and its then-Senior Vice President of Communications, Steve Wymer, hatched a plan to intimidate the Steiners into halting their negative coverage of eBay. The plan, which was carried out by a team of eBay employees, involved sending the Steiners a series of disturbing and threatening messages, including live insects, a bloody pig mask, and a book on surviving the loss of a spouse.

The intimidation campaign, which was designed to frighten the Steiners into silence, was widely condemned by the e-commerce community and beyond. The incident sparked a federal investigation, which ultimately led to the arrest and prosecution of several eBay employees involved in the plot.

The settlement, which was announced on June 14, 2022, is a significant victory for the Steiners, who had been seeking justice and compensation for the emotional distress and harm they suffered as a result of eBay’s actions. The $56 million payout is one of the largest settlements ever awarded to individuals in a case involving corporate intimidation and harassment.

“We are grateful that this ordeal is finally over, and we can begin to heal and move on,” said Ina Steiner, in a statement. “We hope that our story will serve as a warning to other companies that think they can bully and intimidate their critics into silence. We will continue to speak truth to power and advocate for the rights of e-commerce sellers and small businesses.”

The settlement is also a major setback for eBay, which has faced significant backlash and reputational damage as a result of its actions. The company has been working to repair its relationships with the e-commerce community and rebuild trust with its customers and stakeholders.

“eBay is committed to being a positive and responsible member of the e-commerce community,” said Jamie Iannone, eBay’s CEO, in a statement. “We apologize for the harm and distress caused to the Steiners and are taking steps to ensure that this type of behavior never happens again.”

The incident has also raised questions about the culture and values of eBay and other tech companies, which often prioritize growth and profits over people and ethics. The case highlights the need for greater accountability and transparency in the tech industry, as well as the importance of protecting the rights and freedoms of journalists, critics, and other individuals who speak truth to power.

Background

Ina and David Steiner have been publishing EcommerceBytes since 1999, providing news, reviews, and analysis to the e-commerce community. The newsletter has become a trusted source of information and insights for e-commerce sellers, buyers, and professionals.

Over the years, the Steiners have occasionally criticized eBay and other e-commerce companies in their newsletter, highlighting issues such as poor customer service, unfair fees, and lack of transparency. Their critiques, however, were always fair and balanced, and were intended to provide a voice for the e-commerce community and hold companies accountable for their actions.

In 2019, however, the Steiners’ critiques of eBay caught the attention of the company’s top executives, who viewed them as a threat to the company’s reputation and bottom line. A group of eBay employees, led by Wenig and Wymer, concocted a plan to intimidate the Steiners into halting their negative coverage of eBay.

The Intimidation Campaign

The intimidation campaign, which began in June 2019, involved sending the Steiners a series of disturbing and threatening messages, including live insects, a bloody pig mask, and a book on surviving the loss of a spouse. The messages were designed to frighten the Steiners into silence and to make them feel vulnerable and powerless.

The campaign also involved a series of anonymous comments and messages, which were posted on the EcommerceBytes website and social media channels. The comments and messages were often threatening and harassing, and were intended to intimidate the Steiners and their readers.

The Steiners, who were unaware of the identity of the people behind the intimidation campaign, were shocked and frightened by the messages and comments. They reported the incidents to the police and the FBI, who launched an investigation into the matter.

The Investigation and Prosecution

The federal investigation, which was led by the FBI and the US Department of Justice, uncovered a complex plot involving several eBay employees, including Wenig and Wymer. The investigation found that the employees had used eBay’s resources and funds to carry out the intimidation campaign, and had also enlisted the help of outside contractors and vendors.

In June 2020, the US Department of Justice charged six former eBay employees, including Wenig and Wymer, with conspiracy to commit cyberstalking and conspiracy to commit witness tampering. The charges alleged that the defendants had used eBay’s resources and funds to intimidate and harass the Steiners, and had also attempted to obstruct the investigation into the matter.

The case against the defendants is ongoing, with several of them having pleaded guilty to the charges and awaiting sentencing. Wenig and Wymer have denied any wrongdoing and are awaiting trial.

The Settlement

The $56 million settlement, which was announced on June 14, 2022, is a significant victory for the Steiners, who had been seeking justice and compensation for the emotional distress and harm they suffered as a result of eBay’s actions. The settlement is one of the largest ever awarded to individuals in a case involving corporate intimidation and harassment.

The settlement includes a payment of $56 million to the Steiners, as well as a commitment from eBay to implement new policies and procedures to prevent similar incidents in the future. The company has also agreed to provide training to its employees on the importance of respecting the rights and freedoms of journalists, critics, and other individuals who speak truth to power.

The settlement is a major setback for eBay, which has faced significant backlash and reputational damage as a result of its actions. The company has been working to repair its relationships with the e-commerce community and rebuild trust with its customers and stakeholders.

Conclusion

The case of the Steiners and eBay is a shocking example of the lengths to which companies will go to silence their critics and protect their reputations. The incident highlights the need for greater accountability and transparency in the tech industry, as well as the importance of protecting the rights and freedoms of journalists, critics, and other individuals who speak truth to power.

The $56 million settlement is a significant victory for the Steiners and a major setback for eBay. It sends a strong message to companies that think they can bully and intimidate their critics into silence, and it provides a measure of justice and compensation to the Steiners for the harm they suffered.

As the tech industry continues to grow and evolve, it is essential that companies prioritize ethics, transparency, and accountability. The case of the Steiners and eBay is a reminder that the rights and freedoms of individuals must be respected and protected, and that companies must be held accountable for their actions.