PayPal Acceptable Use Policy
PayPal’s Acceptable Use Policy outlines the types of transactions and activities that can lead to account restrictions or fund holds, and merchants who believe their funds were withheld improperly may have legal options to pursue recovery.
When one of our clients brought to our attention a recent issue that they were having with PayPal, even we were in disbelief. Nonetheless, we have found that our client is not alone, and there are hundreds, if not thousands of merchants who have had their funds withheld by PayPal.
Although no two cases are exactly alike, the facts of each case will be unique, and therefor the outcome of each case will vary based on the circumstances in support of both te Merchant and PayPal itself. With this in mind, we still however believe that most merchants who have done nothing wrong or illegal, and that their actions do not violate this policy, have recourse against PayPal, and that PayPal is not entitled to convert to its own use, regardless of the account balance.
As experienced E-commerce sellers with nearly 20 years experience on Paypal, LA Law Group is unique in that we combine the practicality with our legal knowledge and expertise to forge unique and creative solutions and attain optimal results for our clients.
If you need help with an issue you are experiencing with PayPal, contact us for a free consultation.
Frequently asked
What is PayPal's Acceptable Use Policy?
It is PayPal's set of rules describing prohibited transactions and activities that can result in account limitations, holds, or fund withholding if a merchant is found to have violated the policy.
Can PayPal hold my funds without notice?
PayPal's user agreement generally allows it to place holds or reserves on funds under certain circumstances, though the specific reasons and duration can vary by account and situation.
What can I do if PayPal withheld my funds and I believe I did nothing wrong?
You may want to review the specific policy PayPal cited, gather documentation supporting your account activity, and consult with an attorney to discuss potential options under California law.
Attorney Advertising. This article is general information, not legal advice, and does not create an attorney-client relationship. Prior results do not guarantee a similar outcome.