Question regarding a hypothetical mail order problem for sellers and PayPal...

[ATP]

I can tell you that I watched a very close friend lose a $3500 item when the buyer claimed he sent him some junk wax and not the item. He returned the "junk wax" and I assume kept the actual $3500 item. There was sig confirmation but it didn't get signed for, though it was marked as delivered. I can't say for certain how he responded to paypal, but he is usually a rule following guy. They took the $3500 back and he got to keep the "junk wax" that was returned to him. Since then I don't think he has used USPS for anything. The verbiage of the seller protection policy is very vague on covering you for a snad dispute, which I suppose is what they could claim if they say something else was sent to them. He wasn't able to file an insurance claim because it was delivered.

On the other hand, I had a chargeback for a very large amount that paypal backed me on, that was for "unauthorized transaction" though, not the old switcheroo move.