Gene Kearns wrote:

"If you read and accept PayPal's ToS (Terms of Service) you are in
effect waiving your rights to credit card consumer protection laws
against unauthorized charges, and you may not issue a chargeback for
anything you purchase using your credit card and PayPal account that
you are unsatisfied with." (cited from following URL)
See: http://paypalsucks.com/credit-card-waiver.shtml

I have successfully done chargebacks on several occasions to Paypal with
my credit card, which is why I always use a credit card when paying with
Paypal. In my chargebacks, the sellers did not ship the goods, and maybe
that's the difference because in the quotation above it says,
"unsatisfied with". In any event, Paypal is worse than useless in disputes.

I'm not saying that it's not against their TOS to do chargebacks, but I
haven't lost my Paypal account either.

Never let cash sit in your Paypal account when someone pays you. I use a
Paypal debit card and withdraw funds immediately.

Roger