The thing is if an item is counterfeit and paypal allowed payment to proceed they could be litigated. If a third party imported counterfit goods and didn't take

The thing is if an item is counterfeit and paypal allowed payment to proceed they could be litigated. If a third party imported counterfit goods and didn't take due action they could be fined and / or lose their license. Paypal does this to minimize risk and effort (cost) involved, whether this is a good way to minimize risk is apparent but than again this is paypal.