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As in you asked this question to their forums and are asking their opinion? What the heck do you think PP forum moderators are going to say :rollseyes:

I just spent about 10 minutes digging around PP's site. No clear rules or definitions on F&F, other than it is for giving F&F money. I mean, I can interpret the F&F rule to mean that any payment outside of a true gift is not allowed. When I PP'd my buddy my share of a hotel room, I was technically paying for goods or services, and he should have been charged a fee. What if I was PayPaling a family member for that bike, should I use commercial or F&F?

If you are a local shop using F&F to conduct business, I agree with your premises. A one off sale of an item on CL? Not really worth an argument. Buyer and seller beware, you aren't protected.