We stopped processing with paypal when they deemed adult sites to be 'unsavory' and stopped processing.
My site was listed over at the Waybackmachine
(
http://www.archive.org) which means that people could look up my site from 1999 and join up. Which they did, at low, 1999 prices.
Some subscriptions came in through the way back machine using paypal and they froze our account. I showed them the archive and they didn't believe me. They have never heard of it.
The pages saved were not on my server but they told me to unfreeze my account we would have to modify the pages on archive.org. Archive.org doesn't belong to me!!
Basically, they said screw you and kept our money! What an opportunity!! We ourselves were in compliance but because someone else posted archives of our sites, they feel it's ok to hold our money indefinately.
If you look up sites over there, you can get lucky and lots of the join pages still work!!! Including lots of people who took paypal when they begged for amateur websites to use them. Hell they even created a 'subscription' function for our sites. They now say, water ran up hill and that does't happen. But one rep to the other has no idea what's going on over there. What was ok with one guy isnt ok with another.
All this I say because....
Paypal is a company that will screw you for the wind blowing sideways. I'm not sure if they only screw sellers or if buyers are exempt. I'd just be scared of them for they are bad people.