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I purchased a lens filter for my Sony DSC X-100 camera in February on eBay. I returned the item to the seller as it did not fit and seller accepted the return. The unused filter was volleyed between addresses that the seller gave me for over three weeks EBay transferred the case to PayPal because of the time lapse. PayPal has denied the case as of April 26th ,2018 as they see no evidence of misrepresentation of the filter. I had sent PayPal email evidence from the seller that the seller would accept the return and refund me. Why was my case denied?
In your situation, it would be best you contact local PayPal Customer Support so they can explain to you on the reason it is denied as they can review and inform on call.