Well its worse that I thought. I had a long conversation with Paypal over the weekend.

Basically anything that isnt new and doesnt have a manufacrers warranty wont be covered under the new seller protection policy. 

The guy on the phone sounded like he had done his research. 

So it wont matter where you bought it from (ebay, Target, China) its all classed as re-sale if its not as described above.