A receiving node receives a virtual LDP initialization (vInit) message from a first node, where the vInit message comprises a request to establish a vLDP session between a requesting node and a target node. If the receiving node does not own a destination address of the vInit message, the receiving node is determined to be a relay node. The relay node inserts a relay label into the vInit message, where the relay label is an outgoing label that the relay node uses to reach the first node, and forwards the vInit message toward the destination address. If the receiving node owns the destination address, the receiving node is determined to be the target node, which extracts a stack of relay labels from the vInit message. The relay labels are used to define a return path to the requesting node for messages transmitted over the vLDP session.