Victims of eBay harassment campaign can seek punitive damages, US judge rules
By Nate Raymond
Nov 1 (Reuters) -A Massachusetts couple subjected by eBay employees to a bizarre harassment campaign after an online newsletter they published drew the ire of executives can seek punitive damages on some of their claims against the company, though not some of the "most distressing" ones, a federal judge ruled on Friday.
The ruling by U.S. District Judge Patti Saris in Boston sought to clear up a legal question that the e-commerce company's lawyers said had been a sticking point in talks to settle the lawsuit by David and Ina Steiner, who it said were already seeking more than $12 million in economic damages.
Lawyers for the Steiners and eBay did not immediately respond to requests for comment.
Seven former eBay workers have pleaded guilty and received sentences of as high as 57 months in prison for their roles in an extensive campaign that took place in 2019 that involved sending the Steiners cockroaches, fly larvae and a bloody Halloween pig mask, and surveilling their home in Natick, Massachusetts.
Prosecutors say the employees did so in order to silence them after senior executives deemed the Steiners' newsletter, EcommerceBytes, critical of eBay.
The San Jose, California-based company agreed in January to pay $3 million under a deferred prosecution agreement. But the company and some ex-eBay executives and employees remain defendants in a separate civil lawsuit by the Steiners.
During a hearing in July, a lawyer for eBay, Jack Pirozzolo of Sidley Austin, had told Saris that the company was seeking to settle the case but that it had become clear during discussions that they needed guidance from the judge on whether Steiners were entitled to seek punitive damages.
Under Massachusetts law, the Steiners would not be entitled to seek punitive damages against eBay. But the Steiners' lawyers, led by Andrew Finkelstein of Finkelstein & Partners, argued California law should apply to their damages claim.
Saris on Friday concluded the "most distressing conduct" underlying the Steiners' claims of trespass, false imprisonment, and Massachusetts Civil Rights Act violations occurred in Massachusetts, foreclosing the availability of punitive damages.
Those claims concerned actions by eBay employees who traveled to Natick to engage in surveillance of the couple and vandalism of their property, which the Steiners said exacerbated their fear for personal safety.
But Saris said the couple's other claims of intentional infliction of emotional distress and civil conspiracy covered not just the stalking and surveillance but also a broader range of conduct that was carried out online from eBay's California headquarters.
"California’s countervailing interest in deterring such malicious and extreme conduct by its corporate domiciles prevails since the most significant of the unlawful conduct took place within its borders," Saris wrote.
The case is Steiner v. eBay Inc, U.S. District Court, District of Massachusetts, No. 21-cv-11181.
For the Steiners: Andrew Finkelstein of Finkelstein & Partners
For eBay: Jack Pirozzolo of Sidley Austin
Reporting by Nate Raymond in Boston
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Penafian: Entiti XM Group menyediakan perkhidmatan pelaksanaan sahaja dan akses ke Kemudahan Dagangan Atas Talian, yang membolehkan sesorang melihat dan/atau menggunakan kandungan yang ada di dalam atau melalui laman web, tidak bertujuan untuk mengubah atau memperluas, juga tidak mengubah atau mengembangkannya. Akses dan penggunaan tersebut tertakluk kepada: (i) Terma dan Syarat; (ii) Amaran Risiko; dan Penafian Penuh. Oleh itu, kandungan sedemikian disediakan tidak lebih dari sekadar maklumat umum. Terutamanya, perlu diketahui bahawa kandungan Kemudahan Dagangan Atas Talian bukan permintaan, atau tawaran untuk melakukan transaksi dalam pasaran kewangan. Berdagang dalam mana-mana pasaran kewangan melibatkan tahap risiko yang besar terhadap modal anda.
Semua bahan yang diterbitkan di Kemudahan Dagangan Atas Talian kami bertujuan hanya untuk tujuan pendidikan/maklumat dan tidak mengandungi – dan tidak boleh dianggap mengandungi nasihat kewangan, cukai pelaburan atau dagangan dan cadangan, atau rekod harga dagangan kami, atau tawaran, atau permintaan untuk suatu transaksi dalam sebarang instrumen kewangan atau promosi kewangan yang tidak diminta kepada anda.
Sebarang kandungan pihak ketiga serta kandungan yang disediakan oleh XM, seperti pendapat, berita, penyelidikan, analisis, harga, maklumat lain atau pautan ke laman web pihak ketiga yang terdapat dalam laman web ini disediakan berdasarkan "seadanya" sebagai ulasan pasaran umum dan bukanlah nasihat pelaburan. Sesuai dengan apa-apa kandungan yang ditafsir sebagai penyelidikan pelaburan, anda mestilah ambil perhatian dan menerima bahawa kandungan tersebut tidak bertujuan dan tidak sediakan berdasarkan keperluan undang-undang yang direka untuk mempromosikan penyelidikan pelaburan bebas dan oleh itu, ia dianggap sebagai komunikasi pemasaran di bawah peraturan dan undang-undang yang berkaitan. SIla pastikan bahawa anda telah membaca dan memahami Notifikasi mengenai Penyelidikan Pelaburan Bukan Bebas dan Amaran Risiko mengenai maklumat di atas yang boleh diakses di sini.
