I have submitted a support ticket to Localbitcoins letting them know that this reputation system is functioning as a de facto blacklist for the untold numbers of sellers who are using it to discriminate against new buyers, like me.  I've actually never bought anything through Localbitcoins yet, due to this system. 

I will report back here what Localbitcoins says about my request to get some sort of list of sellers whose policy it is to refuse new buyers so that we all have our black lists of people to avoid, evening the playing field, so that new buyers are not always wasting their time. 

Will see what they have to say, but i am resigned to the probability that the entire site has been fully compromised by the feds.