Legal Rights & Agreement Rules · Restriction or exception
Acceptance of agreement, fee schedules, and incorporated policies
Opening or using an account constitutes binding acceptance of the user agreement, Fee pages, upcoming Policy Updates, Acceptable Use Policy, and E-Sign Consent disclosure.
Supporting quotations
By opening and using a PayPal account, you agree to comply with all of the terms and conditions of this user agreement, including the [Fee pages](https://www.paypal.com/us/webapps/mpp/merchant-fees?locale.x=en_US), and any upcoming changes described on the [Policy Updates](https://www.paypal.com/us/webapps/mpp/ua/upcoming-policies-full?locale.x=en_US) page at the time you accept this user agreement (which changes will apply to you on the indicated effective dates).
Qualifications & exceptions
Incorporates fee pages and external policy schedules
purpose: terms_administration
Legal Rights & Agreement Rules · Procedure
Unilateral agreement updates and advance notice periods
PayPal may revise the agreement and related terms, generally effective when posted unless otherwise noted. Changes reducing rights or increasing responsibilities require notice; users who accepted before that notice receive at least 21 days for personal accounts and 5 days for business accounts.
Supporting quotations
unless otherwise noted.
at least 21 days before the applicable effective date.
at least 5 days before the applicable effective date.
Qualifications & exceptions
Advance notice periods apply when the agreement was accepted before notice of the changes.
Legal Rights & Agreement Rules · Restriction or exception
General prohibition against violating policies or agreements
Users are forbidden from breaching the user agreement, Acceptable Use Policy, commercial agreements, or any other PayPal policy in connection with service use.
Supporting quotations
Breach this user agreement, the PayPal Acceptable Use Policy, the Commercial Entity Agreements (if they apply to you), the PayPal Balance Terms and Conditions (if it applies to you), or any other agreement between you and PayPal;
Qualifications & exceptions
Strict prohibition across all interactions
purpose: security · purpose: legal_compliance
Legal Rights & Agreement Rules · Procedure
Electronic delivery of disclosures and notices
PayPal can deliver notices electronically under its communications policy. Electronic notices count as received 24 hours after posting or emailing; mail counts after three Business Days. General written notices to PayPal go to its Legal Department in San Jose unless a specific procedure provides another address.
Supporting quotations
24 hours after
3 Business Days after
Unless you're communicating with us about a matter where we've specified another notice address
Legal Rights & Agreement Rules · Restriction or exception
Comprehensive user indemnification obligation
Users must defend and indemnify PayPal and the covered related parties against third-party claims and reasonable legal fees arising from agreement breaches, improper service use, violations of law or others’ rights, or acts and omissions of people they authorize to use the account.
Supporting quotations
You agree to defend, indemnify and hold PayPal harmless from any claim or demand (including reasonable legal fees) made or incurred by any third party due to or arising out of your breach of this user agreement, your improper use of the PayPal services, your violation of any law or the rights of a third party and/or the actions or inactions of any third party to whom you grant permissions to use your PayPal account or access our websites, software, systems (including any networks and servers used to provide any of the PayPal services) operated by us or on our behalf, or any of the PayPal services on your behalf.
Legal Rights & Agreement Rules · Restriction or exception
Exclusion of lost profits and consequential damages
PayPal excludes liability for lost profits, loss of data, loss of business, and special, incidental, or consequential damages arising from services or systems.
Supporting quotations
In no event shall PayPal be liable for lost profits or any special, incidental or consequential damages (including without limitation damages for loss of data or loss of business) arising out of or in connection with our websites, software, systems (including any networks and servers used to provide any of the PayPal services) operated by us or on our behalf, any of the PayPal services, or this user agreement (however arising, including negligence), unless and to the extent prohibited by law.
Qualifications & exceptions
Exclusions apply unless and to the extent prohibited by law.
Legal Rights & Agreement Rules · Restriction or exception
Cap on PayPal liability to actual direct damages
PayPal's total liability in any circumstance is limited to the actual amount of direct damages suffered by the claimant.
Supporting quotations
Our liability to you or any third parties in any circumstance is limited to the actual amount of direct damages.
Qualifications & exceptions
Capped strictly at actual direct damages
purpose: liability_limitation
Legal Rights & Agreement Rules · Restriction or exception
Disclaimer of uninterrupted service and merchant warranties
PayPal provides services as is and disclaims specified implied warranties and guarantees of uninterrupted or secure service. It does not control sellers or guarantee completion by buyers or sellers. It promises reasonable processing efforts but no fixed processing time; some state laws restrict these disclaimers.
Supporting quotations
provided “as-is”
Some states do not allow the disclaimer of implied warranties
Qualifications & exceptions
Some state laws can limit the warranty disclaimers.
Legal Rights & Agreement Rules · Restriction or exception
Binding individual arbitration agreement and jury trial waiver
The agreement requires binding individual arbitration of covered disputes, including past and post-termination disputes, unless a valid opt-out applies. Either side may elect qualifying individual small-claims court. Copyright, trademark, patent and trade-secret disputes are exempt from arbitration and the informal process. Courts decide arbitrability and enforceability issues.
Supporting quotations
except that you or we may elect to have a Dispute heard in small claims court
will not be subject to arbitration or the “Mandatory Informal Dispute Resolution Process.”
You can choose to opt-out
Qualifications & exceptions
Subject to timely opt-out, small-claims and specified intellectual-property exceptions.
Legal Rights & Agreement Rules · Restriction or exception
Class action and representative proceeding waiver
Where law permits, both parties waive class, collective, consolidated, private-attorney-general and representative claims in court or arbitration and waive jury trial. They may still participate in a class-wide or mass settlement. These waivers remain after an arbitration opt-out.
Supporting quotations
THE PARTIES RETAIN THE RIGHT TO PARTICIPATE IN A CLASS-WIDE OR MASS SETTLEMENT OF CLAIMS.
TO THE EXTENT PERMITTED BY APPLICABLE LAW
such as the class action waiver and jury trial waiver
Qualifications & exceptions
Where permitted by law.
Class-wide and mass settlements remain permitted.
Legal Rights & Agreement Rules · Procedure
Mandatory certified mail Notice of Dispute prerequisite
Claimants must send a completed Notice of Dispute form with an original handwritten signature via certified mail to Omaha, Nebraska before initiating arbitration or small claims court.
Supporting quotations
Before initiating arbitration or commencing a matter in small claims court, you or PayPal must first send the other party, by certified mail, a completed [Notice of Dispute](https://internal.paypalinc.com/us/legalhub/paypal/pp-notice-dispute) form. You should send this Notice of Dispute to PayPal at: PayPal, Inc., Attn: Legal Specialists, Re: Notice of Dispute, P.O. Box 45950, Omaha, NE 68145-0950. PayPal will send any Notice of Dispute to the address we have on file associated with your PayPal account; it is your responsibility to keep your address up to date. To be valid, the Notice of Dispute must contain all information called for in the form including but not limited to: your original handwritten signature or, for PayPal, the original handwritten signature of an authorized representative (and your or our counsel’s original handwritten signature, if represented); the email address and phone number associated with the customer's PayPal account, a detailed description of the nature and basis of the claims that are being asserted; a statement of the specific relief sought with a good faith calculation for it; and any relevant documents and supporting information reasonably available to the claiming party. To safeguard your personal information, if you have retained an attorney to submit your Notice of Dispute, you also must provide written authorization, with your original handwritten signature, allowing us to discuss the Dispute and your account and to share your account records with your attorney. We also may ask for verification of your identity and the fact that you authorized submission of the Notice of Dispute or disclosure of account information to your attorney. You agree to cooperate promptly with any reasonable request for verification.
Qualifications & exceptions
Certified mail Notice of Dispute with handwritten signature mandatory
Legal Rights & Agreement Rules · Restriction or exception
Assignment prohibition without written consent
Users cannot transfer or assign contractual rights without PayPal's prior written consent; PayPal may assign the agreement freely at any time.
Supporting quotations
You may not transfer or assign any rights or obligations you have under this user agreement without PayPal's prior written consent. PayPal may transfer or assign this user agreement or any right or obligation under this user agreement at any time.
Qualifications & exceptions
Unilateral assignment permitted to PayPal only
purpose: contract_administration
Legal Rights & Agreement Rules · Context
Delaware governing law and New York County court forum
Delaware law governs except where federal law preempts or the agreement states otherwise. Unless otherwise agreed and to the extent lawful, nonarbitrated disputes and arbitration-enforceability cases belong in New York County courts, with an exception for small-claims court.
Supporting quotations
except to the extent inconsistent with or preempted by federal law
except for disputes brought in small claims court
Qualifications & exceptions
Federal-law and other stated exceptions apply.
Qualifying small-claims cases are excluded from the New York forum.
Legal Rights & Agreement Rules · Restriction or exception
Business payment products and single sign-on carry extra requirements
Using a Business Account Payment Solution accepts applicable additional terms when the agreement or those terms have been accepted. SAML single sign-on users attest compliance with applicable multi-factor authentication regulations and must supply reasonably requested evidence.
Supporting quotations
You accept (or have previously accepted) this user agreement and you start using a Business Account Payment Solution.
You will provide information to demonstrate compliance with this requirement as reasonably requested by PayPal.
Legal Rights & Agreement Rules · User right or choice
Users can obtain account activity statements
Users have a right to account statements online. A personal account with a linked Balance Account receives one statement for all personal-account transactions and another for Balance-only transactions.
Supporting quotations
You have the right to receive an account statement showing your PayPal account activity.
For regular recurring payments that vary, the seller must give the amount and date at least 10 days in advance. If offered, the user can elect notices only when payments fall outside an agreed range. PayPal conversions use the rate when the automatic payment processes.
Supporting quotations
at least 10 days before the transfer is made.
in effect at the time the automatic payment transaction is processed.
Legal Rights & Agreement Rules · Restriction or exception
Some card merchants must accept a Commercial Entity Agreement
Card-network volume, business-category or guest-payment criteria can require sellers to contract with processing member banks. Those agreements are incorporated into the PayPal agreement.
Supporting quotations
you are required under the applicable card network rules
are incorporated by reference
Legal Rights & Agreement Rules · User right or choice
Sellers must publish support and return information
Sellers must make an active support email or ticket URL and/or phone number readily accessible, publish a refund and returns policy, and publish a privacy policy where law requires.
Supporting quotations
Such information must be readily accessible
You must publish a refunds and returns policy.
where required by law.
Legal Rights & Agreement Rules · Restriction or exception
Marketplace and invoicing rules also apply
Invoicing is subject to the separate Invoicing Terms. Marketplace and third-party app sellers must follow that forum’s buyer-protection rules, which can affect claims.
Supporting quotations
will apply.
you must comply with any rules
Legal Rights & Agreement Rules · User right or choice
Sellers need recurring-payment authorization and accessible cancellation
Sellers must get prior approval for amount, frequency and duration, allow cancellation online for online sign-up and allow stops up to three Business Days before payment. They cannot restart canceled payments without written authorization. Varying amounts require 10 days’ notice, with an optional agreed-range exception.
Supporting quotations
Get each buyer's prior authorization
without the buyer's written authorization
simple and easily accessible online cancelation procedure
3 Business Days
at least 10 days
Legal Rights & Agreement Rules · Procedure
Business pricing and fee errors require written notice within 60 days
After account statements or activity information become available, business users have 60 days to report pricing or fee discrepancies in writing. Otherwise PayPal treats the information as accepted and need not correct it unless law requires. Unauthorized transfers have separate deadlines.
Supporting quotations
sixty (60) days to notify PayPal in writing
unless otherwise required by applicable law.
Legal Rights & Agreement Rules · Company practice
Legal process can restrict or release funds beyond 180 days
Court orders or regulatory requirements can cause holds, reserves, limitations or release of funds. PayPal gives notice unless the process requires otherwise, need not contest an order, and may retain these restrictions beyond 180 days.
Supporting quotations
We do not have an obligation to contest or appeal
longer than 180 days.
Legal Rights & Agreement Rules · Procedure
Report unauthorized transfers immediately and review the 60-day deadline
Report lost credentials or unauthorized transfers immediately. If an unauthorized transfer appears on a statement, failure to report within 60 days can make later losses unrecoverable where PayPal proves timely notice would have prevented them. Good reasons such as hospitalization may extend the period.
Supporting quotations
within 60 days after we provided the statement to you
if we can prove
we may extend the time periods.
Legal Rights & Agreement Rules · Procedure
Ordinary transfer errors must be reported within 60 days of the first statement
Use phone support, the Resolution Center or the Error Resolution Department to report an error as soon as possible and within 60 days after the first statement showing it. Provide account identification, the error or requested clarification and amount. PayPal may require written confirmation of an oral report within 10 Business Days.
Supporting quotations
no later than 60 days after we sent the FIRST statement
in writing within 10 Business Days.
Legal Rights & Agreement Rules · Company practice
Error investigations normally provide temporary credit after 10 Business Days
PayPal normally determines errors within 10 Business Days. If it needs up to 45 days, it credits the disputed amount within 10 Business Days for use during investigation. It may withhold that credit if requested written confirmation does not arrive within 10 Business Days. New-account cases can take 20 Business Days for credit and new, point-of-sale or foreign cases up to 90 days to investigate.
Supporting quotations
we will credit your PayPal account within 10 Business Days
we may not credit your PayPal account.
up to 20 Business Days
Legal Rights & Agreement Rules · Company practice
Error findings come within three Business Days and supporting records can be requested
PayPal reports results within three Business Days after finishing investigation. A no-error finding gets a written explanation, and the user may request copies of the documents used.
Supporting quotations
within 3 Business Days
You may ask for copies
Legal Rights & Agreement Rules · Procedure
Business routing-number debit disputes have a next-day cutoff
For an unauthorized or excessive business debit using assigned account and routing numbers, notify PayPal by 8 PM Pacific on the Business Day following the Business Day it posts. Missing that cutoff makes the user responsible for recovery from the merchant or originator. Other business errors retain their separate protections.
Supporting quotations
by 8:00 PM PT
you will be responsible for recovering any potential losses directly
Legal Rights & Agreement Rules · Context
International remittance protections apply to qualifying personal Send Money transfers
Covered remittances are personal or household Send Money transfers from a personal account of at least $15 excluding fees to an account outside the US. Merchant-checkout payments do not qualify. Covered errors include wrong amounts, calculations, delivery and needed documentation, subject to stated estimate, extraordinary-event, screening and fraud exceptions.
Supporting quotations
equals or exceeds $15 U.S. dollars
are not “Remittance Transfers.”
delays resulted from fraud screenings
Legal Rights & Agreement Rules · Procedure
Remittance complaints have a 180-day reporting period
Report a remittance problem by phone, mail or the Resolution Center within 180 days of promised availability, supplying sender, recipient, amount, transaction code and problem details. PayPal investigates within 90 days, promptly corrects errors and reports within three Business Days; written explanations and investigation records are available.
Supporting quotations
within 180 days of the date we promised
within 90 days after you contact us
Legal Rights & Agreement Rules · Restriction or exception
Bankruptcy enforcement costs and reversed-payment claims can pass to PayPal
PayPal claims reasonable enforcement costs and legal fees in insolvency proceedings. When it invalidates and reverses your payment, it assumes related rights against the recipient and third parties and may pursue them directly or for you.
Supporting quotations
all reasonable costs or expenses
PayPal assumes your rights against the recipient
Legal Rights & Agreement Rules · Restriction or exception
Disputes with other account holders release PayPal from related claims
Users release PayPal from known and unknown claims and damages related to disputes with another account holder, expressly waiving protections that would otherwise limit the release to known claims.
Supporting quotations
known and unknown
you expressly waive any protections
Legal Rights & Agreement Rules · User right or choice
Arbitration can be opted out of within 30 days of first acceptance
Opt out by completing and signing PayPal’s specified form and mailing it to the Litigation Department, Re: PayPal Opt-Out Notice, 2211 North First Street, San Jose, CA 95131, postmarked within 30 days after first accepting the user agreement. Include all requested account and contact details. Other terms, class and jury waivers remain, and other arbitration agreements are unaffected.
Supporting quotations
postmarked no later than 30 days
You must sign the opt-out notice for it to be effective.
Legal Rights & Agreement Rules · Procedure
Formal disputes require 60 days of informal negotiation
After a complete certified-mail Notice of Dispute, both sides negotiate in good faith for 60 days and personally attend a requested phone or video settlement conference, which may occur later. Completing the process is required before arbitration. Courts may enforce it and stay arbitration; limitations periods are paused during the stated process.
Supporting quotations
For a period of 60 days after receipt
is a condition precedent to initiating arbitration.
shall be tolled
Legal Rights & Agreement Rules · Procedure
Arbitration uses JAMS procedures with signed submissions
JAMS administers under applicable rules as modified by the agreement, with a court-appointed alternative if needed. A demand needs the notice, compliance certification and original handwritten signatures; improper submissions can incur sanctions. One neutral arbitrator ordinarily decides on written submissions, with a warranted hearing within 50 miles of the user’s county or parish unless another location is agreed.
Supporting quotations
original handwritten signature
authorized to impose any sanctions
within 50 miles
Legal Rights & Agreement Rules · Procedure
Individual arbitration relief and discovery have procedural limits
Arbitration generally provides individual relief and cannot combine people’s claims without agreement. If restrictions on particular nonindividual relief are unenforceable after appeals, that issue goes to court after other claims are arbitrated. Information exchange must be proportional, AI-generated submissions personally verified and certified, and the award reasoned; specified cost shifting applies.
Supporting quotations
after all other claims and requests for relief are arbitrated.
personally verified the content's accuracy.
cost-shifting provisions
Legal Rights & Agreement Rules · Procedure
Coordinated mass arbitration proceeds in staged groups
At least 25 similar coordinated disputes trigger staged procedures that may delay claims. Initial stages generally handle up to 50 individual cases, followed by global mediation paid by PayPal. Remaining claims can later proceed in 100 randomly selected cases per stage. Applicable limitations periods are paused under the stated rules.
Supporting quotations
25 or more similar Disputes
50 cases total
PayPal will pay the mediator’s fee
a total of 100 cases
Legal Rights & Agreement Rules · User right or choice
Unresolved mass-arbitration claims can move to court after two mediations
After the second mediation, a claimant has 30 days to send a signed written election of court proceedings; PayPal has 14 days after that period to elect court through counsel. Counsel may adjust deadlines. A court also decides enforceability of the mass process; if it is unenforceable after appeals, the dispute proceeds in court.
Supporting quotations
within 30 days after the conclusion of the second mediation
within 14 days
shall only proceed in a court
Legal Rights & Agreement Rules · Context
The arbitration agreement supersedes earlier versions unless the account closed in time
The clause applies to pending and earlier disputes and replaces prior arbitration terms. It says users wishing to retain an earlier arbitration agreement must close their accounts before this version takes effect; prior agreements then continue to govern disputes.
Supporting quotations
replaces and supersedes any prior Agreement
must close your PayPal account prior to the effective date.
Legal Rights & Agreement Rules · Context
Business Days exclude weekends and specified US office holidays
Deadlines measured in Business Days use Monday through Friday excluding PayPal’s listed US office holidays, with Saturday holidays observed Friday and Sunday holidays observed Monday.
Supporting quotations
Monday through Friday, excluding holidays
the following Monday.
Legal Rights & Agreement Rules · User right or choice
An unreceived payment can be canceled for a full refund
The agreement grants cancellation for a full refund until the designated recipient receives the payment. Because most payments arrive within seconds, cancellation often becomes unavailable immediately; check transaction details or call support. Wrong-recipient and scam payments may be unrecoverable.
Supporting quotations
unless your designated recipient has already received the payment.
you may not be able to recover your funds.
Legal Rights & Agreement Rules · Context
Specified duties survive closure and invalid terms can be severed
Unless otherwise stated, invalid terms are severable without invalidating the rest. Indemnity, liability limits, dispute resolution and governing-law provisions survive termination along with other expressly surviving terms. Failure to enforce is not a waiver, and the agreement is the entire account and service agreement.
Supporting quotations
shall survive termination
constitutes the entire agreement
Legal Rights & Agreement Rules · Context
PayPal’s role is payment processing, not escrow or buyer verification
PayPal disclaims acting as escrow agent, agent or trustee, creating a partnership or employment relationship, or guaranteeing buyer or seller identity. Tax determination and collection duties apply only where expressly stated.
Supporting quotations
We act as a payment service provider only.
Act as an escrow agent
Guarantee the identity of any buyer or seller;
Legal Rights & Agreement Rules · User right or choice
California and Florida residents have regulator complaint routes
California residents can complain to DFPI and request emailed account communications by writing PayPal with an email address. Florida residents can contact the state Department of Financial Services. These are additional routes beyond PayPal complaints.
Supporting quotations
you may report complaints to the Department of Financial Protection & Innovation
Florida residents may contact
Legal Rights & Agreement Rules · Context
The English agreement governs translation conflicts
Translations are for convenience and do not change the agreement; English controls any conflict.