Paypal Payment reversal ripoff Internet California

Purchased "working" laptop from seller on eBay. Recieved it found out it did not work. Contacted seller, agreement made to return item for refund. Only condition was a three week wait. We agreed.
Waited 3 weeks, recieved refund as promised. About 3 weeks AFTER refund to my Paypal account, I spent it. Recently got email from Paypal saying the payment was reversed.

Responded to (Paypal) email providing requested info about transation.

The transaction between myself and seller was agreed upon beforehand, and was settled when my refund was received. Or I thought so, anyways.

Apparently Paypal can take the money back by reversing the payment without explanation or warning. So I spent $135 for a non-working computer, which was returned to the seller 4 months ago, paid shipping... twice (once to recieve, once to return), paid Paypal's fees for funds transfer, have NOTHING for it except a neagtive Paypal account balance. No reply from seller, claim was "deferred" by Paypal. Tried to close Paypal account but can't because of negative balance.

Somebody is making out here, and it's not me!

William
Greenville, North Carolina
U.S.A.