Landmark Civil Rights Settlement Reached in eBay Cyberstalking Case, Awarding $55.7 Million and Driving Corporate Accountability

EVERETT, Mass. – July 27, 2026 – Scalli Murphy Law, P.C. today announced a historic civil rights settlement resolving the extensive civil litigation brought against eBay, Inc., several former executives, and other employees by David and Ina Steiner, the founders of the news site EcommerceBytes. The lawsuit stemmed from a severe cyberstalking and harassment campaign orchestrated by the company in 2019, aimed at silencing the Steiners’ critical reporting. This landmark resolution, which includes substantial compensation for the plaintiffs, significant charitable commitments, personal financial contributions from former eBay executives, a public statement from eBay, and notably, no confidentiality restrictions, marks a significant victory for investigative journalism and corporate accountability.

The settlement concludes over six years of intense legal battles, encompassing both criminal and civil proceedings. The resolution underscores a commitment to justice, not only through financial redress but also through measures designed to prevent future misconduct. The total value of the settlement, combining compensation and charitable commitments, amounts to $55.7 million.

Scalli Murphy Law played a pivotal role from the outset of this complex case. In 2019, as the harassment campaign was escalating, David and Ina Steiner reached out to the firm for assistance. Scalli Murphy Law provided crucial support to the Steiners, enabling them to involve the Natick police and initiate investigations by the Federal Bureau of Investigation (FBI). This early intervention was instrumental in bringing the perpetrators to light.

The extensive investigation by the U.S. Department of Justice, spearheaded by the U.S. Attorney’s Office for the District of Massachusetts, led to the indictment of several former eBay employees and a contractor. Those indicted and who subsequently pleaded guilty for their involvement in the terror campaign include Jim Baugh, David Harville, Brian Gilbert, Stephanie Popp, Stephanie Stockwell, Philip Cooke, and former eBay contractor Veronica Zea. Their guilty pleas validated the severity of their actions and the impact they had on the Steiners.

eBay itself faced criminal charges and entered into a Deferred Prosecution Agreement with the U.S. Department of Justice. As part of this agreement, the company was compelled to pay the maximum available criminal fine of $3 million and commit to implementing significant corrective actions to reform its internal practices and prevent recurrence.

Following the criminal proceedings, the Steiners initiated a civil lawsuit against all defendants in 2021, seeking redress for the profound harm they suffered. The civil litigation saw a strategic shift in the spring of 2024 when the Steiners, after changing counsel, entrusted the leadership of their case to a formidable legal team. This team comprised Scalli Murphy Law, Diller Law LLP, Finkelstein & Partners LLP, and Finkelstein, Blankinship, Frei-Pearson & Garber, LLP, who collectively worked to achieve this comprehensive settlement.

Christopher Murphy, representing Scalli Murphy Law, articulated the core objectives of the litigation, stating, "This case was always about more than obtaining financial recovery. 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 and harassment campaign orchestrated by eBay executives against the Steiners was a deeply disturbing episode. It involved a coordinated effort to intimidate and silence the couple, who were known for their independent reporting on e-commerce issues through their website, EcommerceBytes. The campaign included an array of tactics designed to inflict distress and disrupt their lives and professional activities.

Specific actions undertaken by the perpetrators, as detailed in court documents and public statements, included the relentless monitoring of the Steiners’ personal lives, the dissemination of disturbing and threatening messages, and the harassment of their family members. The intent was to create a climate of fear and to ultimately shut down EcommerceBytes, thereby eliminating a critical voice in the e-commerce news landscape. The use of company resources and the active participation of senior executives in such a campaign highlighted a profound breach of corporate ethics and a disregard for fundamental civil rights.

The resolution of this case is significant not only for the financial compensation awarded to David and Ina Steiner but also for the precedent it sets. The inclusion of personal financial contributions from former eBay executives underscores individual accountability, moving beyond corporate liability. The public statement by eBay signifies an acknowledgment of wrongdoing and a commitment to transparency. Crucially, the absence of confidentiality restrictions allows the full details of the settlement and the events leading to it to remain in the public domain, serving as a deterrent to other corporations and their leaders who might consider similar tactics.

The charitable commitments included in the settlement are also a vital component, aiming to support organizations that champion press freedom, protect journalists, and combat online harassment. These contributions reflect a broader societal interest in fostering a safe environment for free expression and independent reporting.

The extensive discovery process, marked by arduous legal maneuvering and meticulous trial preparation, was essential in piecing together the full scope of the cyberstalking campaign. The legal teams meticulously gathered evidence, deposed witnesses, and built a compelling case that ultimately led to the settlement. The involvement of multiple law firms with specialized expertise ensured that all aspects of the case were rigorously addressed, from criminal prosecution to civil redress.

The Steiners’ courage in pursuing this case against a powerful corporation and its executives has been widely recognized. Their determination to expose the truth and hold those responsible accountable has paved the way for a more just and equitable landscape for journalists and publishers. The settlement serves as a powerful affirmation that even in the face of significant power imbalances, justice can be achieved through persistent legal action and unwavering advocacy.

Further background information regarding the litigation, criminal proceedings, and the terms of the settlement is 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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