Paypal refuses to refund the money despite having proof

[Elvis0071]

Evening all,

Basically I ordered expensive graphics card at online shop using DPD next day delivery. 
Shop's T&C's clearly stated that they will not deliver to neighbour. Despite that it was delivered to neighbour and seller didn't ask DPD not to do it.
So neighbour said she hasn't got it. Obviously stole it.
I claimed through paypal, they decided in sellers favour because seller has provided proof of delivery... which clearly states neighbours address.
I contacted the seller they said it's a police matter. Later on they said they will investigate and then never came back. Their terms and conditions state "If no one is available at your address to take delivery and the products cannot be posted through your letterbox, we will leave you a note informing you of how to rearrange delivery or collect the products from a local depot." None of this happened.
Where am I standing with this?
Is it really the case that any neighbour can take your parcel and just keep it without any consequences?
Do Paypal even check tracking numbers provided by seller? 
I contacted paypal through FB messenger, they said I can dispute if I have evidence from shipping carrier that they have delivered to different address? It's funny that I need to prove something which clearly is on a tracking number already supplied by seller?!
DPD won't give official letter, they confimed me through email tho.
Should I really need to escalate this to small claims court?

[sharpiemarker]

@Elvis0071 

“I claimed through paypal, they decided in sellers favour because seller has provided proof of delivery... which clearly states neighbours address.”

Let me get this straight…the seller just shipped directly to your neighbor’s address, then? Wow. Brazen.

You have pretty much these options: get a PayPal dispute specialist sympathetic enough to take another look at the tracking info for you or do a credit card chargeback, if that’s how you paid. Small claims court is the last resort.

[Elvis0071]

Sorry, no not directly.
I didn't hear knock on the door nor there was any "we miss you" note left.
I just got email saying I wasn't at home so it's left at neighbours.
Problem is I didn't expect seller to authorise DPD to deliver to neighbour. As I spoke to DPD, seller did tick the box not to leave at safe place but missed to tick the box not to deliver to neighbour. So in that case they breached their own terms and conditions which nowhere says my parcel can be left at some stranger two houses up the road. Many online places nowadays mark parcels all over the place "don't leave at neighbour".

[kernowlass]

@Elvis0071 

DPD auto deliver to a neighbour unless you select another option.

https://www.dpd.co.uk/content/how-can-we-help/help.jsp#:~:text=Missed%20a%20delivery%3F&text=You're%....

• we will automatically try to leave your parcel with your neighbour if you're not in.

Not everyone gets on with their neighbours, so if you want to tell us your preferred neighbour, or a safe place at your property, enter your reference number here and see your options.

[Elvis0071]

My contract was with retailer not with their subcontractor - DPD in this case. I don’t care how they deliver it. As per their t&cs they are responsible for parcel until it’s delivered to address shown on invoice. They have to go and chase not me going around forums etc.. They could be using any other subcontractor to handle/package or do any other thing with my product. That doesn’t mean I have to go and chase each and every of them to find out their terms and conditions which essentially don’t apply to me. It’s clear breach of consumer acts.

[kernowlass]

@Elvis0071 

If they have tracking that shows delivery of an item then the seller is covered.

Anything else is between you and DPD to sort out.

No seller knows whether you want an item left with a neighbour OR left in a safe place etc, thats between you and DPD when you get your tracking number.

The shop can say what they like but DPD have their own terms and conditions.

[Elvis0071]

Even if it’s delivered to different house and accepted by different person? Great. That means next time dpd rings at my door I will happily take some random parcels in and keep them to myself cos why not. No one can do anything about it. What a world we love in. Unbelievable. I’m not talking where I want parcel to be delivered! It’s where it was supposed to be delivered! If it says house number x then you deliver to house number x not z y or q.

[kernowlass]

@Elvis0071 

I get loads of items for neighbours and they do for me, but normally DPD put a note through the door or send an email to say where they have left it.