PayPal threatens to sue a cancer victim for dying, a "breach" of its rules

I expect that part of this is that if there is an outstanding debt, then it should not be unexpected to request that the estate balance that debt before it goes to the inheritors. But there are more diplomatic ways of resolving an issue like this. Perhaps in case of death request a balancing and closing of all accounts, and could the spouse or whatever confirm than he or she is the executor of the will, things like that, so that there are no loose ends… I am not very good at this, but you get what I mean.