Former eBay executives allegedly sent live spiders and a bloody pig mask to critics. Now the company is paying $56 million to settle the fallout

The 2021 civil lawsuit against the former eBay execs, which alleged “a coordinated effort to intimidate, threaten to kill, torture, terrorize, stalk and silence the Steiners, in order to stifle their reporting on eBay,” was finally settled on July 27, resulting in a total payout of nearly $56 million.

“There’s no doubt that there is a sense of relief because of the protracted nature of the litigation,” David Steiner told Moneywise. “It took a physical, mental, emotional and financial toll on Ina and myself. We hope that the size of the settlement amount will act as a deterrent to corporations in the future.”

Under the settlement, the Steiners will receive $46.15 million from eBay, $2 million from former CEO Devin Wenig and $550,000 from two other ex-executives. The agreement also includes $7 million in charitable donations, including $1 million honoring Ina Steiner’s support of First Amendment rights.

It’s a definitive conclusion to a harassment campaign that allegedly began in 2019, details of which the lawsuit says “shock the conscience and demonstrate the utter depths eBay would stoop to in order to take the Steiners down and end their reporting.”

How an alleged intimidation campaign led to a $56-million settlement

The couple alleged, in their lawsuit, that “eBay, through its Chief Executive leadership, sent a directive and enlisted at least seven members of the eBay security staff … to deal with the Steiners” and “terminate” their reporting.

The lawsuit says the campaign escalated from online taunts and pornography sent to neighbors in David’s name to threatening deliveries that included “live spiders, cockroaches, a bloody pig mask, a funeral wreath, and a book entitled Grief Diaries: Surviving Loss of a Spouse.”

It also alleges some defendants traveled to Massachusetts to stalk the couple, attempted to place a tracking device on their vehicle, posted their address online and created fake invitations to sex parties and yard sales at their home.

“The Steiners were paralyzed with fear,” the lawsuit contends, adding they repeatedly contacted police and installed security cameras at their home while the defendants allegedly celebrated the campaign and later plotted to destroy evidence when police began investigating.

Steiner told Moneywise that he and his wife Ida decided to fight back in court when “it became obvious to us that the (U.S. Attorney’s Office) in Boston was not going to indict any member of the executive team at eBay.” He added that “it was up to us” to hold them accountable.

The U.S. Department of Justice, via the U.S. Attorney’s Office for the District of Massachusetts indicted six former eBay employees and a contractor, while eBay paid a $3-million criminal fine in 2024.

But in 2021, the Steiners filed the civil suit against eBay that included former executives like Wenig — who the Boston Globe says “continued to maintain that he was unaware of the harassment campaign.”

While eBay didn’t reply to Moneywise’s request for comment, a public statement condemned the harassment by its former employees as “wrong” and “reprehensible” while offering their “deepest apologies to the Steiners.” They added that the company has strengthened its policies “to uphold high standards of conduct and ethics.”

Thinking of suing a big company? Here’s what to know before you do

Whether for consumer-related claims, personal injury issues or sending you live bugs in the mail, the decision to take a corporation to court is not for the faint of heart.

“You’re going to be panicked and terrified, but it’s important to document everything as carefully as possible,” Steiner advised.

He also noted that their lawyer proved “instrumental in guiding us through the process.”

Proper representation is key, as it can help you weigh your legal options and navigate the complex court processes.

“Taking on a major corporation in court feels a bit like David versus Goliath,” according to Thomas Law Offices, a large law firm with offices across the Midwest. “Goliath has a team of lawyers, corporate resources, and a PR machine at its disposal.”

The Pusch & Wynne law firm, meanwhile, points to the various costs related to bringing a lawsuit, which could hit upwards of $10,000 “for a simple suit.”