Yes I had a similar experience and I will not be using PayPal to receive money in the future. I just had someone do a case on even a "friends and family" payment and decision was in their favor. There are not supposed to be cases on friends and family. He just lied and claimed unauthorized activity. Buyer is always right even when it hurts the seller. They don't see that even sellers are hard working individuals, not always a corporation that can take the hit. Unfortunately, it's also silly customers that often do not know how to properly use a product, that then seek a refund.
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