Do you even have sufficient information to file a suit? At a minimum you would need his name, legal guardians name, and address. In most states filings have to be done in person so you unless you luck out and someone lives in state you have that added cost.
One further complication is that usually you can't represent someone else in small claims court. You can only file for money owed to you. So what you (or someone) would need to do if have the other creditors sign over the debt to the person filing the claim. The plantiff wouldn't need to buy the debt from the creditor(s); a simple contract could be written that the plaintiff is purchasing the debt for a representative share of the proceeds (if any) that come from the lawsuit. Likely the contract should be worded such that if a lawsuit if dismissed, or not filed that ownership of the debt returns to the creditor. Essentially the plaintiff then is owed the full amount (of the entities willing to participate) and can file for that amount. If the plaintiff wins the defendant/debtor would pay the plaintiff and the plaintiff pay each creditor on a representative basis.
Still if that is the way (or someone else) wants to go I will sign over my $240 owed to anyone looking to file a suit. Honestly I think this would be a good thing for Bitcoin. While case isn't about Bitcoin it would be useful for the community to see that a debt incurred is a debt incurred. PayPal freezing the account is irrelevant, TheBitMan owes the funds. Period. If PayPal was wrong them TheBitMan may have a case against PayPal but that doesn't change the fact that he still owes the creditors.
If you owe someone money you pay. If you can't pay you find a way (payment plan, getting a loan, get a second job, etc). If you don't pay you get sued. Pretty simple concepts which seem to evaporate as soon as Bitcoin even comes close.
It may take a few months but just be patient and you will all get your money back- unless you start some stupid law suit.
Well there is no guarantee of that. He may just decide after a couple months to take the money and walk away. I certainly hope that isn't the case but saying "you WILL
all get your money" is a false claim. We "may" get our money. If you are so certain I would gladly sell you my claim for 85% of the face value right now. A guaranteed profit since there is absolutely no chance that you won't be repaid right?
BCB is correct on one account. A judgement could be used to prevent the PayPal funds from being taken although I doubt it would go that far. His parents likely aren't interested in having a judgement on their credit report and would pay the amount in full and collect from their son when PayPal releases the account.