Well you can receive money while you are in dispute but it is always risky to do so, paypal can hold that money as well and will limit your account. So it is always advisable to close that dispute first and then accept payment. Thanks
I have faced such problem few months back but i was doing dealing with others and didn't faced any problem . But always remember than don't withdraw whole money from your account till you finish the dispute or your account can be closed .
True and False. While you are involved in a DISPUTE you can use your account as usual. BUT if the dispute is escalated into a claim PayPal can limit your account access (depending on the size of the claim and your available funds) and while in limited access more you are NOT allowed to receive payment, close the account or send/request payments.