A good next move would probably to contact PayPal and let them know about her violations of their user policy (highlighted pertinent info in Bold):
From their user agreement:
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9. Restricted Activities.
9.1 Restricted Activities. In connection with your use of our website, your Account, or the Services, or in the course of your interactions with PayPal, a User or a third party, you will not:
Breach this Agreement, the Card Processing Agreement, the Acceptable Use Policy or any other agreement that you have entered into with PayPal (including a Policy);
Violate any law, statute, ordinance, or regulation (for example, those governing financial services, consumer protections, unfair competition, anti-discrimination or false advertising);
Infringe PayPals or any third partys copyright, patent, trademark, trade secret or other intellectual property rights, or rights of publicity or privacy;
Act in a manner that is defamatory, trade libelous, unlawfully threatening or unlawfully harassing;
Provide false, inaccurate or misleading Information;
Send or receive what we reasonably believe to be potentially fraudulent funds;
Refuse to cooperate in an investigation or provide confirmation of your identity or any Information you provide to us;
Attempt to double dip during the course of a dispute by receiving or attempting to receive funds from both PayPal and the seller, bank, or credit card company for the same transaction;
Use an anonymizing proxy;
Control an Account that is linked to another Account that has engaged in any of these Restricted Activities.
Conduct your business or use the Services in a manner that results in or may result in complaints, Disputes, Claims, Reversals, Chargebacks, fees, fines, penalties and other liability to PayPal, a User, a third party or you;
Have a credit score from a credit reporting agency that indicates a high level of risk associated with your use of the Services;
Use your Account or the Services in a manner that PayPal, Visa, MasterCard, American Express or Discover reasonably believe to be an abuse of the credit card system or a violation of credit card association rules;
Allow your Account to have a negative Balance;
Provide yourself a cash advance from your credit card (or help others to do so);
Access the Services from a country that is not included on PayPals permitted countries list.
Disclose or distribute another Users Information to a third party, or use the Information for marketing purposes unless you receive the Users express consent to do so;
Send unsolicited email to a User or use the Services to collect payments for sending, or assisting in sending, unsolicited email to third parties;
Take any action that imposes an unreasonable or disproportionately large load on our infrastructure;
Facilitate any viruses, Trojan horses, worms or other computer programming routines that may damage, detrimentally interfere with, surreptitiously intercept or expropriate any system, data or Information;
Use any robot, spider, other automatic device, or manual process to monitor or copy our website without our prior written permission;
Use any device, software or routine to bypass our robot exclusion headers, or interfere or attempt to interfere, with our website or the Services;
Take any action that may cause us to lose any of the services from our internet service providers, payment processors, or other suppliers;
Use the Service to test credit card behaviors.
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If anything with enough inquiry her account can get suspended while they investigate.
I was also wondering if anyone would be interested in surrendering $25.00 to test and see if the "smudge feathers" she's selling are actually Eagle feathers as the picture on her site would indicate.
