I started selling some themes in a market place which I've recently decided to withdraw as I didn't want to carry on supporting them. The deal was that he sold them and took 45%, much like theme forest but on a much smaller scale. When I asked the owner to remove my templates he refused and has since tried to steal them. First he removed all trace of me from his forum (announcing releases etc) and put his details on the sales page author bio. Thank god for DMCA, within a few days the items were removed.

Now he's trying to claim over £1000 for 'not received' item cases through paypal, even though these payments he's claiming on clearly state 'commissions up to xx' on the notes and it's digital downloads which means his customer would have received the item instantly, ofcourse I have no access to his customers or forum. I'm just worried that Paypal will side with him as I have no physical proof like a receipt or anything, do I have anything to worry about?

Surely the fact that he paid me the commissions shows that the product has been received? it's just 45 mins till they open so I can give them a call then anyway.