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If you are refering to me then no I have no legal right at all to hold your money.
But then that is because I have NOTHING to do with paypal.
But paypal does have a legal right and you agreed to the hold when you opened your paypal account and signed up to the user agreement.
PLUS paypals user agreement was approved by the FSA in the UK.
But if you don't agree with it then why not just close your paypal account, no one is forcing anyone to use one.
Great, less competition for the rest of us sellers that have been through the hold and understood that as it was for buyer protection we did not mind.
When you FINALLY get the money that YOU EARNED for YOUR goods... Paypal will promptly put another delay on actually handing over the 'available' funds. Rest assured though, because it's a 'standard business practice.' Don't like it? Too bad. Don't use paypal then.