Yeah...Item not recieved. You had it, which is good, but the unconfirmed address...scammers know how to work the Ebay and Paypal systems.
This is another possibility..don't freak out, because it doesn't always happen BUT...Paypal CAN freeze your bank account till you pay them. They can't actually take the money out but they can put a hold on all your funds.
The BEST thing to do if you sell on Ebay is to open a bank account just for those funds. After you transfer your money from Paypal to the bank account immediately transfer it to your regular bank account.
This way Paypal only has access to whichever bank accnt you give them...see? If there is no money in the account, they can freeze it but won't get anything.
There is no way I'd pay them. I'd let it go to collections and then cut a deal for 50% of what you owe.JMO.