I had no idea such a scam even existed. I assume they kept your phone and returned you their same model with the gouged screen.You're right about PayPal and sellers. I sold a perfect smartphone and the buyer opened a claim with PayPal and said that the screen was scratched and it was not. I had to refund the purchase and received the phone back with a scratched screen that wasn't like that when I sent it. I had a tempered glass screen protector on the phone that was gone when I got it back.