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Can a company hold payments received from customers legally?

I am a seller on ebay. I have a 100% feedback with no customer complaints. I am a top seller and a power seller also. I try to do my best when dealing with customers. Ebay randomly selected my account to do something strange. They are freezing customer payments received for 21 days. What this means is I have to pay for shipping out of pocket. I can't pay for the shipping costs out of my paypal account. I can't pay for seller fees out of paypal. So basically, they are hurting themselves. After I ship off my latest sales I probably will close my account and go to another online auction site. I don't earn much. I was only using my earnings to purchase coupons on ebay to help us save money at the store. Can a company legally hold your money without any reason? They didn't call me, they haven't explained why the put my earnings on hold. I have been over my ebay and paypal accounts to find any complaints. I can't find any explanation for this absurd action. I'll still use ebay for personal items, but as far as I'm concerned I'm closing my seller account. I have enough stress in life to deal with ebay's ridiculous rules. They're losing money. I'll find another site who appreciates their sellers. But can ebay legally hold my earnings? Thanks.

Public Comments

1. According to the CNN article below, yes. Please read on. In particular, note the following: "If funds are frozen after a sale, PayPal will release them after the buyer leaves positive feedback, three days after the item's confirmed delivery, or at the end of 21 days without a dispute, whichever happens first."
2. They may actually,but after sometime release it.