PayPal Acceptable Use Policy

Legal Rights & Agreement Rules · Context

Policy states it was last updated October 29, 2022

This Acceptable Use Policy says it was last updated on October 29, 2022. The supplied text gives no separate effective date, and no earlier or later version is part of this analysis.

Supporting quotations

Last updated on October 29, 2022

Not stated here

• When changes take effect and whether a newer version exists are not stated in the supplied text.

Legal Rights & Agreement Rules · Restriction or exception

You are independently responsible for following applicable law and this policy

PayPal says you are independently responsible for complying with all applicable laws in everything you do with PayPal's services, whatever your purpose. On top of that you must follow this Acceptable Use Policy. Breaking this policy counts as breaking the PayPal User Agreement.

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You are independently responsible for complying with all applicable laws in all of your actions related to your use of PayPal's services, regardless of the purpose of the use.

Violation of this Acceptable Use Policy constitutes a violation of the PayPal User Agreement.

Qualifications & exceptions

• The legal duty covers all of your actions related to your use of PayPal's services, regardless of the purpose of the use.
• The policy is additional to, not a substitute for, the legal duty.

Not stated here

• What happens when the PayPal User Agreement is violated is not stated in this policy; that agreement is a separate document that is not part of this source.

Legal Rights & Agreement Rules · Restriction or exception

Activities that violate any law are prohibited

You may not use the PayPal service for activities that violate any law, statute, ordinance or regulation. This sits in the list of prohibited activities, so it is part of the policy itself, in addition to the general legal responsibility in the opening paragraph.

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You may not use the PayPal service for activities that:

violate any law, statute, ordinance or regulation.

Not stated here

• The policy does not say which jurisdiction's law applies.

Legal Rights & Agreement Rules · Restriction or exception

Transactions involving drugs, cigarettes, firearms and weapons are prohibited

You may not use the PayPal service for activities that relate to transactions involving: narcotics, steroids, certain controlled substances or other products that present a risk to consumer safety; drug paraphernalia; cigarettes; ammunition, firearms, or certain firearm parts or accessories; or certain weapons or knives regulated under applicable law.

Supporting quotations

You may not use the PayPal service for activities that:

(a) narcotics, steroids, certain controlled substances or other products that present a risk to consumer safety, (b) drug paraphernalia, (c) cigarettes,

(j) ammunition, firearms, or certain firearm parts or accessories, or (k) certain weapons or knives regulated under applicable law.

Qualifications & exceptions

• 'Certain' limits the controlled substances, firearm parts or accessories, and weapons or knives; the policy does not say which are in or out.
• Weapons and knives are covered only to the extent they are regulated under applicable law.
• The ban names cigarettes; non-cigarette tobacco products, e-cigarettes and cigars appear instead on the pre-approval list in the next section.

Not stated here

• Which controlled substances, firearm parts or weapons count as 'certain' is not defined in the supplied text.

Cross-references

• contrast (model-proposed): Selling alcohol and non-cigarette tobacco products needs pre-approval — contrast: Cigarettes are banned outright in the Prohibited Activities list, while non-cigarette tobacco products, e-cigarettes and cigars are listed as approvable with pre-approval.
• contrast (model-proposed): Prescription items, telemedicine and medical items or services need pre-approval — contrast: Narcotics, steroids and certain controlled substances are banned, while products requiring a prescription are a pre-approval category; the policy does not say how the two interact.

Legal Rights & Agreement Rules · Restriction or exception

Transactions involving pyramid schemes, third-party personal data, bribery and similar are prohibited

You may not use the PayPal service for activities that relate to transactions that show third parties' personal information in violation of applicable law; support pyramid or ponzi schemes, matrix programs, other 'get rich quick' schemes or certain multi-level marketing programs; are for the sale of certain items before the seller has control or possession of the item; or involve offering or receiving payments for bribery or corruption.

Supporting quotations

You may not use the PayPal service for activities that:

(a) show the personal information of third parties in violation of applicable law, (b) support pyramid or ponzi schemes, matrix programs, other "get rich quick" schemes or certain multi-level marketing programs,

(d) are for the sale of certain items before the seller has control or possession of the item,

(i) involve offering or receiving payments for the purpose of bribery or corruption.

Qualifications & exceptions

• Showing third parties' personal information is banned only when it is in violation of applicable law.
• Only 'certain' multi-level marketing programs and 'certain' items sold before the seller has control or possession are banned; the policy does not say which.

Not stated here

• Which multi-level marketing programs and which pre-possession sales are prohibited is not defined in the supplied text.

Cross-references

• contrast (model-proposed): Multilevel marketing, direct selling and marketplaces need pre-approval — contrast: Certain multi-level marketing programs are banned, while multi-level marketing and direct sales organizations are a pre-approval category; the policy does not say which programs fall on which side.

Legal Rights & Agreement Rules · Restriction or exception

Products or services flagged by government agencies as likely fraudulent are prohibited

You may not use the PayPal service for activities that involve selling products or services that government agencies have identified as having a high likelihood of being fraudulent.

Supporting quotations

You may not use the PayPal service for activities that:

involve the sales of products or services identified by government agencies to have a high likelihood of being fraudulent.

Qualifications & exceptions

• The trigger is identification by government agencies, not PayPal's own assessment.

Not stated here

• Which agencies count, and how a user can know a product has been identified, is not stated.

Legal Rights & Agreement Rules · Procedure

The Help Center has more about the policy

The policy points to PayPal's Help Center for readers who want to learn more about the Acceptable Use Policy.

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To learn more about the Acceptable Use Policy, please refer to our [Help Center](https://www.paypal.com/us/webapps/helpcenter/helphub/home/?locale.x=en_US).

Not stated here

• The Help Center content is linked but not supplied, so what it adds is unknown.

Legal Rights & Agreement Rules · Procedure

PayPal encourages reporting violations and asking whether a transaction is allowed

PayPal encourages you to report violations of this Acceptable Use Policy to PayPal immediately. If you have a question about whether a type of transaction may violate the policy, or you want to file a report, you can do so through the contact link PayPal gives.

Supporting quotations

We encourage you to [report](https://www.paypal.com/us/smarthelp/contact-us?email=paypalme&locale.x=en_US) violations of this Acceptable Use Policy to PayPal immediately.

If you have a question about whether a type of transaction may violate the Acceptable Use Policy, or wish to file a report, you can do so [here](https://www.paypal.com/us/smarthelp/contact-us?email=paypalme&locale.x=en_US).

Qualifications & exceptions

• Reporting is encouraged, not stated as required.
• The same link serves both reports and questions about whether a transaction type may violate the policy.

Not stated here

• The contact page is linked but not supplied, so how PayPal handles reports or questions is unknown.
• The policy does not say what PayPal does after a report, or what happens to an account found to have violated the policy beyond counting as a violation of the PayPal User Agreement.