Prosper, TX asked in Civil Rights and Small Claims for Texas

Q: Am I able to take legal action with PayPal if they refuse to give me my money back after a refund is issued?

I made a purchase and used PayPal to pay for it. I never received the item, so I contacted the company I purchased goods from. The company issued a refund through PayPal, but PayPal is refusing to release the funds back to me.

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1 Lawyer Answer

A: The answer to your question is in your user agreement you accepted when you signed-on with PayPal. If PayPal has sent you an email, or letter telling you they are not giving you a refund, I would need to see that to give you solid legal advice.

PayPal is obligated to give you a refund if the seller has returned the same to them. Is there something more to this? Sometimes PayPal will send you a check, if there is an issue with the card or account you used for the initial transaction. If you can follow-up, with getting me all the correspondence between you and PayPal, I can give you better advice.

Did you tell your card/bank company that the transaction needs to be cancelled? If not, I would try that if this all happened less than 30 days ago.

I hope this helps.

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