Topic: Paypal's legal recourse?

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Posted at April 2, 2006, 5:05 am:

I recently had an unfair chargeback on my account. I sold an item to someone in Fl (value about $40) and the person paid with Paypal. I received the payment, no problem. I waited a few days....still no problem. I transferred the funds to my bank account, and shipped the item. The buyer received it, and notified me and left positive feedback. About a week later, I get a notice from Paypal saying there was a problem with the seller (an unspecified problem, which they said was confidential, and I would have to take legal action with them to get them to release it) and that the money had been deducted from my Paypal account, barring proof and information they requested. Upon sending them this, they informed me they didn't think it was enough, and that the removal of funds was now permanent. What I want to know is what legal action they can take against me if I choose to fight this. They said on the phone when I called them that 'It's just too hard to track down and get back the money from the buyer, sometimes the phone number is wrong, sometimes the address is wrong, so basically to make it easy, we just take the money from you. If you don't like it, don't use our service'.

I don't want to hear what's 'right' and 'wrong' about wanting to fight this out. I don't want to hear 'it's just $40, pay it'. I did what I was supposed to and still ended up out the money and out the item. I'm already filing a police report for the person who got the item, but my concern is that it's going to be dismissed because the amount in question is so small.

So my question is this: What can Paypal do to collect the money, and what can I do to fight them? Do you even think they'll bother? At this point, I don't give a rat's ass if they freeze my Paypal account. They can have it. I'm just too poor to be hashing this out with a company that seems to respond to any complaint in the same generic fashion. I need my $40

Original of the message was taken from http://www.auctionbytes.com/forum/phpBB/

Replies:

Email any other defrauded sellers and get them to do the following.

Thank you so much, I am already filing a police report, the buyer cont...

LOTR, What a fantastic list of things you can do.

-+Hi eBayGuru, Yes, it's always worked for me with US fraudsters in...

When we have a non-payment whether we have shipped or not, we use a co...

I live in NY State and if you recall a few years ago Elliot Spitzer re...


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