PayKickstart automatically adds dispute and chargeback statuses inside your account for related PayPal transactions. There is nothing you need to do to configure this.
When a dispute is opened, we automatically put the affiliates commission (if there is one) on hold/pending until a decision has been made by the payment gateway on the dispute/chargeback.
If lost, the commission will be removed with an status of Dispute/Chargeback Lost. If won, the commission will be available to be paid out with a status of Dispute/Chargeback Won.