I sold a gold watch on ebay last year for 2500. I got the payment and promised shipment right after payment not realizing the buyer was from China. So, keeping my word I sent the watch because I had the Paypal payment. I sent it on Saturday and Sunday night paypal froze the payment. I had to wait 3 weeks for a resolution. The buyer didn't do anything but pay for the watch and paypal still froze it because he was from China. Anyway...after 3 weeks of sweating it out he left me positive feedback and I forwarded that to paypal and they finally released the money. Have to say that I wouldn't do it again..
I wouldn't do it again either. Just to point back to the hoops, PayPal freezes a payment because their computer kicks it as it hits too many negative "points" in a program. Why the freeze is not information available to the PayPal reps, all they know is that it tripped the profile and the payment got kicked. The first thing PayPal wants to know is was the address "eligible", which the can determine without you. If the address is eligible they go right to the hoops:
1) have you shipped yet
2) if you have shipped was it to that eligible address
3) do you have direct online verifiable signature confirmation
If the answer to any of the hoops is no and they are not on the hook to pay a claim, you better hope the freeze gets lifted, or that you have insurance, because if PayPal determines they are not on the hook, well they do what most of us do when its "not our problem". In the case of China, I think no addresses are "eligible".
Kevin