Posted By:
Sean BH"he told me that he and his wife checked the whole house and couldn't find the package."
What did he say when he found out the package was at the post office? I would think that PayPal would back you with it being delivered by registered mail (assuming it was a confirmed address). I've never had a problem with someone saying the wrong thing was delivered, so I'm not sure how that works.
What kind of negs does this guy have(was he a buyer or seller)?
sdbh