I've been playing my mandolin a bit lately and was overcome with MAS. I found a particularly intriguing USA handmade F style on eBay, and after communicating with the owner about it's condition went ahead with the purchase. Problem #1 was that it arrived with a 1/4" chip on the lower body point. The chip was still amazingly connected at the butt, but bent back, and in such a way that I easily dabbed some glue on the raw wood and taped it back in place to dry. I informed the seller, took photos, and set it aside until the next day. Ah yes, along comes the next day, and upon closer inspection I find that the neck has a serious cup between the 4th and 9th frets, and not the sort of bow one might adjust with the truss rod. Nowhere in verbal description or photograph did the seller so much as hint at this serious flaw. He is claiming that it has perfect intonation (which it doesn't) and that it works as intended. I tried to kindly ask him to accept a return and he said no. Having paid by PayPal, I tried to start a claim, and was automatically switched to eBay's resolution process. The seller filed a UPS damage claim. UPS picked up the mandolin and the original packaging and sent it back to Denver where it originated, having been packed and sent from a UPS store. eBay, in the meantime, ruled it as qualified for return and started the process of having the seller provide me with a prepaid label, despite it having been sent back already. I was also then allowed to start a PayPal claim. eBay, after just essentially ruling in my favor for a full refund, closed the case because it was also now a PayPal claim. PP says I can expect a resolution ruling by October 4th. I had tried to reason with the seller, imploring him to act honorably and to honor the unwritten code of musical instrument full disclosure, but he maintains a vague sense of innocence and I can no longer contact him directly. I can't imagine living a life that allowed me to deceive another human being for personal gain in a situation like this. Anyway, it's a Mia FO-4E with a carved rose on the back if it ever comes up for sale again...avoid it and the seller!

Happens a lot. I always get my refund so I just consider it part of hunting for good deals. If it was risk-free, everyone would be doing it and there wouldn't be any good deals out there.
PayPal should have let you know that your ebay case would be closed but at least you know for the future.

While there are neglectful sellers, a lot of issues come form that fact that there are many people who just don't know better, or are not very perceptive. Again, just part of the risk in buying from a place like ebay VS a reputable instrument store.