How to handle a return case after 14 days?

[pennslmmer]

The buyer waited 30 days to file a dispute through paypal for "INAD". Because the 14 days through ebay has expired, he went through paypal instead. On ebay, I offered a 14 days return with the buyer paying for return shipping + 10% restocking fees. Am I still obligated to accept the return and should I still deduct that 10% restocking fees? Thank You.