I figured it came down to people abusing the system. Now buyers have most of the power, which is just as much, if not more of a problem since it is now one sided. I have heard other complaints from sellers I know as well. I think someone said that ebay/paypal was holding onto the money from a sale for a period. I think they said something about needing positive feedback or had to wait a month or 45 days or somnething before they got the money, if there were no problems.
I also remember a family member telling me that they were selling a purse, maybe Coach or something, that was legitimate. Someone they had a problem with during a previous sale (not sure who was buying or selling during the earlier transaction) started trying to cause problems by reporting auctions or something, one of which was this purse. Supposedly it was reported as a fake by the other person, and either the purse wasn't allowed to be relisted or it would have been additional hassle to do so, so it was given as a gift.
If only there was a better alternative to ebay.