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Was your experience ebay related?
I do wonder what the legality of all this is and whether buyers and sellers actually have contracts with/obligations to each other or is the contract with ebay and/or paypal?
In both of the cases where I had funds returned to me without any request to return the goods the sellers were given, and seemingly ignored, plenty of chances to state their own case, request the return of the items, offer other solutions like partial refunds etc.
@mrk123 were paypal and ebay not in touch with you by email to say that the buyer had opened an item not received case against you? I can see that your focus may have been to get the frame sent off ASAP but if you neglected to respond to messages from ebay/paypal I think you may have left yourself open to this somewhat.
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M_V
As a warning, I have been through this process before. It isn't difficult and I represented myself throughout the whole process.
However, the court may well find in your favour but, essentially, all you get is a letter stating that he legally owes you the money. It's then still up to you to reclaim it and each step or avenue you try will cost more money.
If it were me, going through the same again, I'd just get the boys together and go round. It'll be quicker, easier, cheaper and you'll have more chance of getting your money or frame back.