PayPal blocked Flipper Zero account with $1.3M
PayPal performed a "freeze and seize" on our account ~12 months ago, netting just over 50k EUR. They then went on a war of attrition, enumerating across distinct companies, shareholders seizing funds across all accounts (including accounts of unrelated companies and personal accounts in Hong Kong and Australia)<p>No information was given. After the 180 days "freeze" period, they announced that the funds would not be returned, ie: they stole the money.<p>We lawyered up. Their legal team refused to acknowledge official communications from our lawyers, citing "Customer Privacy Protection".<p>When we turned up the heat, we were told that our French lawyers (for a French company, and a French account) had no jurisdiction - the account was managed by PayPal Luxembourg.<p>We retained Luxembourg-based lawyers. PayPal Luxembourg refused to communicate with the lawyers, regurgitating "Customer Privacy Protection".<p>We lodged a complaint with the CSSF, the Luxembourg monetary watchdog.
PayPal finally replied via the CSSF, citing that our account was selling illegal products, ergo the proceeds were illegal, ergo PayPal deserved to keep them.<p>None of the products they cited were ever featured on our site. They included screenshots of other sites. When this was transmitted to the CSSF, PayPal silently released all funds owed, but continued to defend their position.<p>We are now pursuing damages; PayPal Luxembourg is now claiming that the CSSF has no jurisdiction over them, because the accounts are French / HK / Australia.<p>PayPal has an active policy of abuse and racketeering. They know the legal system. They use multiple jurisdictions in their T&Cs to maximise and legalise their theft (IE, PayPal Luxembourg cites UK law in the T&Cs to allow punitive damages for perceived breaches of their illegal contracts).<p>They know the legal system, and use their multi-national entities to avoid oversight from watchdogs. They know customers don't have the resources to pursue them. We've spent well over 100k to recover 50k, but someone has to stand up to these thugs.<p>If you're in a similar situation: Don't be intimidated. Get lawyers, and pursue them via the monetary authorities in your country. They have made theft a business model; apply pressure on the entities that can apply pressure on them, and you'll have a good chance to get your money back.