eBay Executives Sent Live Cockroaches to Critics, $55.7M Settlement 2026

In 2019, a Boston couple received a series of terrifying packages, including a box of live cockroaches and a bloody pig mask. The sender was not a deranged neighbor or a resentful ex-partner, but eBay, the online commerce giant. Last week, their case was finally resolved, and the couple will receive $55.7 million in compensation.

A Brutal Harassment Campaign

The harassment against David and Ina Steiner went far beyond these shipments. According to the Financial Times, there were also numerous social media posts attacking them, they were subscribed to pornographic magazines without their consent, their information was posted on a sexual dating site, and employees even traveled to Boston to follow them.

After reporting it, police traced the origin of all these attacks to eBay's headquarters in California. The harassers were executives and security personnel from the company.

The Trigger

The Steiners were regular sellers on eBay and founded EcommerceBytes, a blog about e-commerce that was especially useful for sellers who, like them, worked on these platforms. Everything was going well until 2008, when eBay changed its policy and began favoring businesses looking to liquidate their inventory, leaving individual sellers in the background.

The Steiners' blog criticized this change, and their coverage apparently angered eBay's then-CEO, Devin Wenig. According to the lawsuit, Wenig told his team that the couple should be "taken down." That message set off a chain of events that led to the harassment.

The Harassment Escalates

The campaign included sending a bloody pig mask, a book on surviving the death of a spouse, and a funeral wreath. The Steiners also received threatening messages and had their home address published online. The harassment was so severe that the couple feared for their safety and installed security cameras.

Police eventually traced the packages and online attacks to eBay employees. In 2020, several former eBay employees were charged in connection with the harassment. They were accused of using company resources to carry out the campaign.

The Settlement and Its Implications

The $55.7 million settlement is one of the largest in cases involving corporate harassment. It sends a clear message that companies can be held accountable for the actions of their employees, especially when those actions are directed at critics.

The case also highlights the dark side of corporate culture, where executives can use their power to intimidate and silence journalists. It raises questions about the checks and balances in place at large corporations. The background to this story is set out in eBay Harassment Scandal: Shocking Story of Journalist Targeting. A related thread runs through Goldman Sachs Executives Share $500M Bonus Pot in Record Payout. Earlier coverage in Best deals on kitchen appliances for Singles' Day 2019 from eBay: food processors, ovens, microwaves... - Grand Goldman shows how the argument developed.

What This Means for eBay

eBay has since apologized for the actions of its former employees and has implemented new policies to prevent similar incidents. However, the settlement is a significant financial blow and a reputational stain on the company. A closer look at the same subject appears in Best deals on kitchen appliances ahead of eBay's 2019 Singles' Day: food processors, ovens, microwaves... - Grand Goldman. Anyone following the wider picture can start with St Paul Mayor Sexual Harassment Claims: Second Police Official. The same theme surfaces in St Paul Mayor Under Investigation for Sexual Harassment, which takes a different angle.

The case also serves as a warning to other companies: criticism from journalists and bloggers is a normal part of business, and responding with harassment is not only illegal but also costly. Context on how this played out before sits in WestJet Sexual Harassment Settlement: $4.5M Payout Analysis. A companion piece, New Orleans Church Abuse Settlement Sparks Outrage, approaches the same subject from another angle.

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