PayPal Receives Complaint by Certified Mail

IS RESOLUTION OR ARBITRATION NEXT?

by Sharon Rondeau

(Jun. 13, 2020) — On Friday, the U.S. Postal Service confirmed receipt of The Post & Email’s complaint to PayPal, Inc. for closing its editor’s accounts without reason and, we believe, without justification, on May 21, 2020.

Following PayPal’s instructions in its User Agreement, the editor completed the designated form last weekend and sent it by certified mail on Monday morning.  The form asks for contact information, a proposed remedy and for 30 days to review the complaint.

As we reported, on May 21 PayPal sent an email to an email account not associated with The Post & Email’s PayPal account stating that “activities” at its website caused it to “restrict” the account. Unlike others’ similar complaints of which we have since become aware, PayPal did not freeze our funds nor state that any type of investigation had been launched.

“Restricted” accounts within the Paypal dashboard are described as “limited,” but when we sought additional information through the link provided, the singular statement, “You can’t use Paypal anymore” appeared.

Approximately four hours after receiving the email, we received another at the same email account inviting us to take advantage of a PayPal promotion associated with online merchandising, prompting us to suspect that the first email had been a “spoof.”  We reported it to Paypal as a suspected imposter message, receiving an acknowledgment shortly thereafter.

However, later that day, we discovered that Paypal restricted the second account, also, without reference to “activities” or any specific objection. The sole “You can’t use Paypal anymore” message appeared when we sought an explanation.

Having taken the first steps outlined in the User Agreement to rectify the situation without satisfaction, we were directed to Paypal’s “Civil” Department, to which we mailed a standard letter dated May 23.  After two weeks and no response, we took the next step of sending the specified form via certified mail.

As per the Agreement, Paypal has 30 days to respond.  Following that, should we not obtain satisfaction, we have the option, as does Paypal, to request arbitration through the American Arbitration Association (ADR.org).  As set forth in Paypal’s User Agreement, arbitration “shall be held in the county in which you reside or at another mutually agreed location. If the value of the relief sought is $10,000 or less, you or PayPal may elect to have the arbitration conducted by telephone or based solely on written submissions, which election shall be binding on you and PayPal subject to the discretion of the arbitrator(s) to require an in-person hearing, if the circumstances warrant.”

Paypal is responsible for the costs of arbitration if the other party requests it and if claimed damages total less than $10,000.