I have bought coin on LBC with Western union. I have never seen anyone accept paypal. I don't think it would be the smartest move for the seller and I personally would never except paypal for btc. I just could not justify the risk for me. To be honest even sellers that accept moneypak on lbc are taking a risk as i bet there is a way for them to lose with that as well.
You using paypal with bitcoin transaction can be abused by just simply filing a chargeback report.