Paypal Ripsoff Sellers with bogus claims Internet

I shipped a beautiful Fenton Glass Vase to Canada (first mistake). The idiot who purchased it complained the vase arrived damaged in shipment and immediately placed a claim with Paypal, who of course automatically holds the funds of $150, without first contacting the shipper of the problem. This item, of course, was insured and well packaged, when it was shipped. It took two weeks to reach it's destination, along the way the box was crushed, and the vase was broken. I repeatedly asked the buyer to take the item to the Canadian post to have the damaged verified. That is the only way to get the United State Post Office to send out a claims packet to the recipient. The Buyer refused to do that, and kept telling me I had to do it. I made a half dozen calls to the Post Office, after initially starting the inquiry, and was told each time the recipient needed to follow thru at their end with the damage verification. I even sent the Buyer full instructions on what had to be done and what form needed to be completed. I also attached this information on the Paypal Resolution form. I contacted Paypal Customer Service and informed them of the procedure that had to be done in order to get compensation from the Post Office for their mishandling. I called on 4 different occassions, each time the agent agreed that the buyer need to do some self help.
In the end, Paypal authorized the buyer to return the item to me and they refunded the total amount. The buyer returned the item in a different box (essentially a smaller box of broken glass is all I got) with out any kind of protection. Since it was returned to me in this condition I could not prove to the Post Office how I had shipped the item without any of the original packaging, I had no recourse. I have complained to Paypal and they have done nothing, I am out the funds and the item. If they had insisted the buyer follow thru with the Post Office claims procedure she would have been reimbursed by now and I wouldn't be out everything. I have sent Paypal many messages regarding this situation and want to know what else I could have done? They have just blown me off. I wish BidPay still existed I would shift all my business to them. Some else please start another online payment company, or if anyone knows of another way to do online transactions, Please tell me!

Treasuredtoyz
Austin, Texas
U.S.A.