Landmark Civil Rights Settlement Reached in eBay Cyberstalking Case: $55.7 Million in Compensation and Charitable Commitments

EVERETT, Mass. – July 27, 2026 – Scalli Murphy Law, P.C. today announced a significant civil rights settlement that resolves the protracted civil litigation initiated by David and Ina Steiner, the investigative reporters and founders of the news site EcommerceBytes, against eBay, Inc., a number of its former executives, and other employees. The lawsuit stemmed from a highly publicized cyberstalking and harassment campaign orchestrated by eBay in 2019, intended to silence the Steiners’ critical reporting on the e-commerce giant.

This historic resolution, announced on July 27, 2026, marks the culmination of over six years of intensive legal proceedings, encompassing both criminal and civil actions. Beyond substantial financial compensation awarded to the plaintiffs, the settlement features significant charitable commitments, personal financial contributions directly from former eBay executives involved in the misconduct, a public statement of apology from eBay, and crucially, no confidentiality restrictions, allowing the details of the resolution to be publicly accessible.

The extensive settlement terms include:

• Substantial Compensation for the Steiners: The specific amount of direct compensation to David and Ina Steiner was not fully detailed in the initial press release, but it is described as "substantial," reflecting the severity of the harm they endured.
• Significant Charitable Contributions: eBay and the involved former executives have committed to substantial financial contributions to various charitable organizations. These donations are intended to support causes related to journalism, press freedom, and civil rights, aiming to foster a more secure environment for independent reporting.
• Personal Financial Contributions from Former Executives: In a notable aspect of the settlement, several former eBay executives who were implicated in the cyberstalking campaign have made personal financial contributions. This underscores a level of individual accountability for their actions.
• Public Statement by eBay: eBay has issued a public statement acknowledging the events and expressing regret for the actions taken against the Steiners. This statement serves as a formal apology and a recognition of the company’s past wrongdoing.
• No Confidentiality Restrictions: A key element of the settlement is the absence of any confidentiality clauses. This ensures transparency and allows the public, as well as the broader journalistic community, to understand the full scope of the case and its resolution.

Scalli Murphy Law was the initial legal firm to engage with the Steiners in 2019, at the height of the harassment campaign. Recognizing the gravity of the situation, David and Ina Steiner sought assistance from the firm. Scalli Murphy Law played a pivotal role in helping the Steiners connect with and involve the Natick police department and federal investigators from the Federal Bureau of Investigation (FBI).

The concerted efforts of the legal team and the Steiners ultimately led to a federal investigation. The United States Department of Justice, through the U.S. Attorney’s Office for the District of Massachusetts, brought criminal charges against several former eBay employees and a contractor. Indicted were: Jim Baugh, David Harville, Brian Gilbert, Stephanie Popp, Stephanie Stockwell, Philip Cooke, and former eBay contractor Veronica Zea. Each of these individuals subsequently pleaded guilty to their roles in orchestrating and executing the "terror campaign" against the Steiners.

eBay, as a corporate entity, also faced criminal charges. The company entered into a Deferred Prosecution Agreement (DPA) with the U.S. Department of Justice. As part of this agreement, eBay consented to pay the maximum available criminal fine of $3 million and committed to implementing significant corrective actions and enhanced compliance measures within the organization.

Following these criminal proceedings, the Steiners initiated a civil lawsuit against all the defendants in 2021, seeking damages and accountability for the severe emotional distress, reputational harm, and disruption to their lives and business caused by eBay’s actions.

In the spring of 2024, after a period of changing legal representation, the Steiners retained a consortium of law firms to spearhead the civil litigation. This team included Scalli Murphy Law, Diller Law LLP, Finkelstein & Partners LLP, and Finkelstein, Blankinship, Frei-Pearson & Garber, LLP. This collective legal force was tasked with navigating the complexities of the civil case through discovery, motion practice, and trial preparation.

Christopher Murphy, a lead attorney at Scalli Murphy Law, articulated the overarching objectives of the litigation. "This case was always about more than obtaining financial recovery," Murphy stated. "From the beginning, our clients wanted to uncover the truth, protect journalists and publishers, hold those responsible accountable, deter future corporate misconduct, and help ensure others would never have to endure what they experienced. Through years of discovery, motion practice and trial preparation, we were able to accomplish those objectives while securing meaningful compensation for two wonderful people. We believe this resolution sends a clear message that corporations and their executives cannot engage in this type of misconduct without facing significant consequences."

The cyberstalking campaign against David and Ina Steiner involved a series of disturbing actions designed to intimidate and silence them. This included the alleged use of sophisticated surveillance, the delivery of live spiders and a funeral wreath to their home, and attempts to disrupt their personal lives and business operations. The perpetrators sought to discredit their reporting and pressure them into ceasing their coverage of eBay. The FBI’s investigation uncovered extensive evidence of the coordinated effort by eBay employees to target the Steiners.

The settlement represents a significant victory for press freedom and a strong deterrent against corporate retaliation against journalists. It underscores the potential legal and financial ramifications for companies that engage in illegal and unethical tactics to suppress unfavorable reporting.

Further details regarding the litigation, the criminal proceedings, and the comprehensive settlement terms are available upon request.

Media Contact:
Ellen Keiley
EMK Consulting Group
[email protected]

Christopher Murphy is available for interviews and comment upon request.

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