I Want to Sue Paypal Since They Have Blocked My Service the Case Background Is Given Below

I want to sue PayPal since they have blocked my service the case background is given below.

Case Background

I opened my first business account with Paypal in last week of July 2010. In June 2011, PayPal contact me by phone at this number +1 631 576 4818 to provide the TAX ID or EIN or SNN by latest December 30, 2011 since I have already crossed 200 transactions in financial year. It was the requirement of IRS as per new laws. This message was continuously appearing on all user screens as a reminder. Since I am not USA citizen does not hold SSN and TAX ID at that time. I applied for ITIN on October 05, 2011 along with W-7 form.

In mid of October 2011, PayPal again contacted me over phone that I should provide the ITIN, I have told them that I have applied to IRS and my case is pending at IRS they will take 6 to 8 weeks as per their procedure. Once again I told the PayPal representative that the dead line was December 31,2011 as per telephonic conversation held with me in June 2011. But representative told me that you should now provide the ITIN or SSN or EIN since I have crossed the 200 transactions in one financial year. As an argument, I told the representative I had crossed the 200 transaction even before June 2011 when I received the first call from PayPal. Then why representative had given the deadline of December 31,2011 in June 2011. This should have been told to me at that point of time, so that I manage my ITIN on priority basis. Keeping in view December 31, 2011 deadline, I applied to IRS in October 2011 to ITIN 3 months more than sufficient I believe. I got my ITIN over phone on December 14,2011

In last week of October my service was closed to accept the online payments from my customers in spite of my humble and genuine request because my case was pending at IRS. IRS used to take 6 to 8 weeks to process the case with W-7 form same I have quoted to PayPal. When my service was closed down I contacted immediately by telephone to Paypal. Paypal representative Mr. Marc Herrold asked me to provide the proof of documents which I had submitted to IRS to get ITIN. Then I Immediately send the following documents to Marc Herrold by email . His email ID was .

01:W-7 Form

02:1040NR U.S. Nonresident Alien Income Tax Return

03:Form 1040 Schedule C - Profit or Loss From Business

04:Form 4562 Depreciation and Amortization

05:Check # 101, amount US$ 478 favoring US Treasury.

Marc Herrold took three days to restore my account and I got extension to provide ITIN. At the time of restoration I was not told by PayPal representative when my extension date will finish. In first week of November, I started calling regularly to IRS to know the status of ITIN application. But IRS representative had a standard answers before 6 weeks they can’t tell anything. In mid of November, 2011 I was told by Marc by email that my service can be blocked at any time since I had not provided the ITIN. I told him that my case is still pending at IRS. I can’t force IRS.

Then on November 17, 2011 PayPal once again placed the limitation on my account I was unable to receive online payments from my customers through website. Then I again approached to PayPal by telephone and requested them to uplift the limitation since my customers were suffering to purchase the online products and tried to convince them my case is Pending at IRS for ITIN. Representative did not listen anything. Then I again contacted the Paypal and asked the representative any alternative solution. I asked the question can I open a new account he said yes, you can open a new account and use the account till the time I reach 200 transactions. This was misleading information provided to me.

I opened another business account on PayPal after November 17, 2011 and make it live on November 20, 2011 to accept online payments from customers. This account was remained active till December 07, 2011. On December 08, 2011, PayPal placed limitation on my new account in results , I could not accept the online payments till now. PayPal asked me to provide Bank Statements, utility Bill, and TAX ID which was requested in I connection with first PayPal accounts () and . On December 8 2011, PayPal representative told me that your both accounts are closed permanently since the accounts were being accessed from Pakistan. I accepted this since my order processing was being handled from Pakistan since August 2010. In the user Agreement of PayPal , it is no where written that PayPal account can’t be accessed from Pakistan Or if it is accessed account will be locked. It was not violation of PayPal User Agreement. Between December 08 to December 13, 2011, I used to contact on daily basis to PayPal to uplift the limitation from my account but representative(s) told me account is at high risk due to Pakistan hence limitation can’t be removed. I told PayPal that I will stop the access from Pakistan but even then they did not agree. On November 13,2011 I gave the ITIN number to SeniorMananger Jennifer (nick name) and also told me that I should submit the scanned copy of passport , bank statements so that accounts can be restored fully. I transmitted all the desired documents by Fax to PayPal at this number 402 537 5731.

On December 14, 2011, I received a phone call from Jasmine Baltimore, IRS representative she gave my ITIN over phone which is 910942403. Very next moment I contacted I contacted PayPal and got shocked to listen my accounts have been closed down permanently due to multiple business accounts with PayPal. Before this they were complaining about accessing the PayPal site from Pakistani IP. As per PayPal user agreement there is no clause which refrains the user not to open multiple accounts and not to access from PK (Pakistan) IP. I argued with the PayPal that I was misguided by your representative about multiple accounts opening. But She did not listen and concluded that PayPal decision is final and can’t be changed.

On December 14, 2011 I opened a third business account at PayPal () after 4 hours PayPal placed limitation. Even at that time I was unaware that PayPal has any policy that user can’t have two business account or more. The telephone log and website log can be checked I opened the third account I was totally unaware about the multiple accounts policy. Even I did not read the PayPal agreement even at the time of signup and till December 14, 2011.

On December 15,2011 I tried to close this account myself but could not because there were limitations and need to be addressed first then I can close this account. On December 15,2011, I have reset the password and security questions in order to remove the limitations. On December 17,2011 I have verified the banking info and also initiated the location confirmation process. Once the verification is done I will close this account.

Prayer

Due to PayPal behavior, my repute has been badly damaged in digital world and my customers were unable to buy the products in result I have experienced economic harm and unable to feed my family. This thing has given me mental torture. I would like to have justice from the court. I want to claim 5 million USD from PayPal about this unlawful activity.

Personal Background:

I visited USA in July 2010 for 20 days. During my stay I opened bank account in Citibank NY and also setup PayPal account linked with my Citibank Account. Then I came back to Pakistan on August 10, 2010. Currently my USA Business Visa has been expired on December 15, 2011. I am Pakistani citizen. I have paid income tax to USA government for the financial year 2010 amounting US$478.