Originally Posted by DarkNWorn
You won't win. It's not the money Paypal owes you that it's defending, it's their policy that's they're defending. So, if they must spend a few grand defending the suit, it's a cheap price to pay for their policy. The only way you can get them is through a class action. It makes the potential damage big enough to attract the good lawyers. You won't get much out of it, other than personal satisfaction that you stick it to the big business.
If it were me I would not get involved with a class action even if it were possible to sucessfully initiate. I would find it more rewarding to engage in my own battle with them even if I lost, I would follow every detail of the case and do proper research. If they claim I should be bound by the agreement (probably not signed) I would look to find a reason in which they breached the contract/agreement first which would effectively make it null and void.
I do not think that it should be viewed simply as sticking it to big business but should be viewed as standing up against a business that has perpetrated a wrong. And I do concede that this matter may have occured not because of some wrongdoing on PayPal's part but may have been due to fraud or just bad practice on the selling end.
Anyway, if this person elects not to take action, this matter should be taken as a lesson and a review of one's own policy regarding the safest way to sell merchandise and protect thier financial interest.
It seems that this order was made via a credit card through PayPal (which by the way makes PayPal the seller of record not the seller himself) and either this was made by the buyer and they are engaging in fraud or someone other than the buyer attampted to use the card. All it takes is for the buyer to make a purchase hoping the seller will ship to an unconfirmed address and then the buyer either files a claim with PayPal claiming non-receipt which isnt all that hard. PayPal will probably find for the buyer, if that failed going to ones own credit card company or bank will croak PayPal out faster than you can blink, PayPal will ultimatly cave and you the seller will get reamed twice.
In closing I suggest that the so called protection policies of both eBay and PayPal simply do not protect anyone and when challenged you will only receive boiler plate communications and a tuff luck ending. I am not knocking eBay as you can close many a deal both as a seller and buyer if you operate well. PayPal however, stinks and should be regulated as a bank is, and for a business to use it I would say they were off thier rocker.
The matter should be elaborated on to show what PayPal is claiming as to why they have pulled back the monies. EXA: Buyer claims non-receipt or did not order at all, was the claim initiated via PayPal or the CC company.