PLEASE!! EBay matter I need help with....

New Jersey .... Hello, My name is Toney Tapia. I tend to sell items on EBay a lot. I have never had a problem until now. To make a long story short, I sold a statue on EBay for $220.00 w/ free shipping. I added in delivery confirmation and insurance for free as well. The winner received the statue and it arrived damaged. We both agreed that I would refund the winner in full and I would get the item returned back to me. I refunded him back via PayPal and after a 1 1/2 weeks, I contacted him about returning the statue back to me. He wrote back to me stating that he had thrown the statue in the trash and it was picked up already. After numerous emails asking why did he go against his word in returning the item back I finally asked him to just send me a payment of $110.00, half of what the item sold for and he still said NO. Is this right? I would hate to take this to legal matters for this but its the principal that I'm upset about. We both agreed upon refund and then return and he broke his return agreement. I am now out of $220.00 and a statue. What should I do?

He is wrong--he has to return the money or the item to you --or you can sue him in small claims for the money you sent him. You can even file a police report for theft if you have good reason to suspect he is lying and kept the statue.

Thank you. I have contacted him again with what you told me to see if he gives in. Any other legal advice I should know. I mean, as for legal representation, if he is found at fault, does he pay all the legal fees?