News
PayPal Orders Buyer To Destroy Violin
The buyer disagreed with the seller about the authenticity of a $2500 violin. PayPal ordered the violin destroyed. The seller is left with a photo of the thoroughly smashed instrument and no money.
By Reidar Falch
According to a letter from the seller of the violin, known as Erica, to Regretsy (www.regretsy.com), Erica sold an old French violin to a buyer in Canada. The buyer disputed the label and raised a claim for refund from PayPal who handled the payment.

The label
"This is not uncommon. In the violin market, labels often mean little and there is often disagreement over them. Some of the most expensive violins in the world have disputed labels, but they are works of art nonetheless," Erica says.
Instead of asking the buyer to return the violin, PayPal ordered the violin destroyed, and a photo provided, in order to refund the payment. They deemed the violin as counterfeit.
The buyer destroyed the instrument thoroughly and provided a photo of the remains. He also sent the photo to the seller.

The destroyed instrument
"I am now out a violin that made it through WWII as well as $2500. This is of course, upsetting. But my main goal in writing to you is to prevent PayPal from ordering the destruction of violins and other antiquities that they know nothing about. It is beyond me why PayPal simply didn’t have the violin returned to me," Erica says.
On behalf of PayPal, Ben Karl says, "While we cannot talk about this particular case due to PayPal's privacy policy, we carefully review each case, and in general we may ask a buyer to destroy counterfeit goods if they supply signed evidence from a knowledgeable third party that the goods are indeed counterfeit. The reason why we reserve the option to ask the buyer to destroy the goods is that in many countries, including the US, it is a criminal offense to mail counterfeit goods back to a seller."
PayPal use the term SNAD (Significantly Not as Described) in their legal agreements about buyer protection. The PayPal Buyer Protection rules says, "For SNAD Claims, PayPal may require you to ship the item back to the seller - or to PayPal - or to a third party at your expense. ... PayPal may also require you to destroy the item and to provide evidence of its destruction."
The User Agreement for PayPal Service says, "If you are a Seller and you lose a SNAD Claim because the item you sold is counterfeit, you will be required to provide a full refund to the buyer and you will not receive the item back (it will be destroyed)."
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