>"DON'T launch with paypal unless you have all the documentation sorted out"
That is the problem. It appears to be impossible to know in advance whether your documentation is sorted out.
Even if PayPal had a 'how to not get locked out and look like a shady operator' HOWTO somewhere on their site the situation would be more acceptable but right now it seems people have to live their life with the (vain?) hope that their capricious payment-processing overlord will continue to smile upon them.
That is the problem. It appears to be impossible to know in advance whether your documentation is sorted out.
Even if PayPal had a 'how to not get locked out and look like a shady operator' HOWTO somewhere on their site the situation would be more acceptable but right now it seems people have to live their life with the (vain?) hope that their capricious payment-processing overlord will continue to smile upon them.