buyer lied about damage

[kellienealon1]

I sold a brand new dress (only purchased that day) and listed it on ebay as the dress looked **bleep** on me and the store only offered credit. I sold it within a week for $110 less than what I paid for it but cut my losses as the dress cost me $600. I sold it as brand new never been worn as it was brand new and had never been worn. I meticulously wrapped the garment and posted it in protective bubble postage and inside the store bag.

I posted the dress on the Wed around lunch and on the Monday I emailed her a courtesy email to see if she received the dress. We had lovely communication before all of this and I was excited for her to receive it. She emailed me at 10:30pm saying the dress did arrive on time however it was damaged, beads missing and holes etc. She said it had been worn. This was ridiculous as the dress has over 1000 beads on it and was a brand new dress. I asked her to send photos which she sent blurry photos that showed nothing to what she suggested. Eventually she showed clearer photos which took a sample of about a 5cm radius of fabric proving nothing of what she was suggesting. THe holes as I explained to her were creases from where the fabric was folded over the beads. I took the photos to the store that I purchased from and they confirmed it wasn't damage. I emailed her the reciept with the dates, confirmation of the paypal listing etc and urged her to iron the garment and phone the store. She issued a dispute with paypal and she requested I pay her $70 in dry cleaning. I already sold the dress for $110 less and refused this. They have now resolved the dispute in favour of the buyer. I'm devestated as I believe she wore the dress and is trying to get a refund and will damage the dress before it's returned. 

Question is, what are the rights of the buyer? This was a brand new dress, posted with tags etc still attached and this woman has been lying the whole way. I'm absolutely devestated by the whole experience and I feel so shaken up. My rights have been completely violated and I"m wondering if someone has some advice for me. It seems silly but this has really shaken me up. The woman was harrassing me and abusing me through email. I had to tell her to stop and let paypal decide an outcome honestly trusting that my evidence was unquestionable in it's support of my innocence. Had I have known this would happen, I would never have even considered selling it on ebay. Seems to be no rights for the seller.