I can give this some context from my old Habbo Hotel days. Virtual goods are non-existent, you are being offered a license to these goods based on the terms and conditions of the service provider. If your account is banned in accordance to the terms and conditions, then they have honoured their side of the contract in full. If you were never given the virtual goods in the first place, then you could raise a dispute for services not performed/received. But the fact you did get those services means that the obligation has been met. Now, you do also have "Services not as described" as a chargeback option, however, again, this will be a stretch as the service you bought was offered to you, the fact that other users hindered your ability to use these goods is not the responsibility of the service provider but the other players. So, whether it is fair for the server owner to revoke the goods for using your right to file a PayPal claim which ultimately loss, I think this may be unfair and maybe enough grounds to lodge an appeal claiming services not received: https://www.paypal.com/uk/smarthelp/article/can-i-appeal-paypal%E2%80%99s-decision-on-my-claim-faq2050 This is because they've revoked the services by retaliation of doing something you are legally and fully entitled to do, even in spite of their terms and conditions. This may not be successful, I've never tested it myself, but it's worth a shot as I am sure PayPal would frown upon merchants penalising customers by putting them off their protection processes. Goodluck.
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