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I'm starting the same process today. Paypal denied my claim saying my package was delivered after Yokawa Network sent a bogus tracking number.
When you filed your claim with the BBB was it against Yokawa Network or PayPal? Personally I think we should all band together and start a class action lawsuit against PayPal. They are fully aware these companies are scamming hardworking folks yet allow it to continue because they are receiving their fee for the sale.
I filed against PP.. I am going to file another complaint against them tomorrow for a similar situation but different seller, ShengGuo. PP said it would have a decision on Oct 10, Then the 20th, then the 28th, now Nov 2.. I have had it with F'n PP!!! They don't give a Sh*t about us! I am beginning to believe that China owns them!!!! I am done with them, I changed all my settings and removed PP from my "prefered payments". I will never use them again!! I am sticking with either AmEx or Chase, they both protect their card holders!!!
But I am in with the class action suit against PP!!
Amazingly I finally got PayPal to refund my 2 transactions but it required numerous complaints, appeals and finally actually getting through to someone and forcing them to read through the file. I had involved the financial ombudsman on this matter also. DON'T GIVE UP, PERSEVERANCE PAY OFF.
Good luck i really do hope you get somewhere, this company is still doing it to this minute and still advertising with paypal!!!!