I am confident that I will get my money back too, it will just take some time. PayPal even called me on my phone to ask details about the case, so it's definitely in progress.
But there is a thread on the PayPal forums and a lot of people don't have the luck I have - https://www.paypal-community.com/t5/Disputes-and-Limitations...
It's hard to believe that this seller is able to play PayPal like this though. There must be dozens over dozens of claims against the same vendor at this point.