II. Constitute clear legal relationship between C2C industry and participant
by standardization and interoperability of the law

Another problem that clearly show in the C2C transaction is about the problem on lack of defines legal relationship between C2C industry and their participant. Of course, this will create at least two serious consequence problems. The first problem is on liability problem of C2C service provider.¹⁰⁴ This liability problem bring trouble consequence, for instance it may bring trouble for C2C transaction participant in enforcing their legal rights and also it also eliminates legal incentive for C2C industry in order protection security of their participant.

The reason for liability problem is that C2C service provider nowadays does not have a clear legal definition on their legal status in all statute around the world. The only close analogous definition for these service providers is internet service provider (ISP). And also these service now seems satisfies for this analogous definition. This is because these service provider enjoy the overwhelm immunity from all the statute around the world for example in the, in Europe Article 12 of Directive 2000131.EC

Notwithstanding, in practical, the C2C service provider seems to be so different from common ISP. The C2C service provider get more involve to their customer rather than just mere facilitate the communication between users. A good example can be seen in administrative power of C2C service provider. For instance, eBay employ the rule for prohibit user from selling or buying in their website or in PayPal, PayPal can limit account access of customer in discretion of their website.

Another problem occur from lack of define legal relationship is about the problem in lack of applicable rule in using the existing legal measure. As discuss in above section, the problem may occur. for instance in respect of PayPal, the status of PayPal whether it is Bank or not.

In my opinion, all of this problem may be solved by enacting the special legislation for C2C transaction to define the legal relationship between C2C service provider and their user in all respect of problem (the law of C2C transaction). For instance, in respect of liability, the law may defined that how much liability that C2C service provider have to get involve or joint liability with fraudster or offender. In respect of legal status, the law may define payment intermediary like PayPal is equivalent to status of bank and control with the special organization.

However, this C2C transaction law cannot success with only enacting within the form of domestic legislation. The success of this law depend large part on the success of international co-operation. This is because there are classic problem on online legislation such as jurisdiction problem. The jurisdiction problem is that this law is no effective in practical even though UK government consents in enacting this C2C transaction law and defined clear relationship between C2C provider and their user in respect of liability. For example, the scenario is that British citizen is victim of fraud in the online auction transaction in eBay but he lives in China. This British cannot claim liability with Chinese law¹⁰⁵ even if he can claim in English law. This lead to suggestion that this C2C  transaction law should be in form of international law for example the concerned oranization such as UNICITRAL Should established standard model C2C of the law. This will, of course, standardize the protection of the law. Furthermore, the C2C transaction law needs high level of international co-operation in respect of interoperability. For instance, they should establish the treaty (eBay treaty) in enforcing the member in enacting C2C transaction law. With this measure, in my opinion, they will rapidly solve the problem concerned about uncertainty of legal relationship between C2C service provider and also encourage more incentive to C2C provider in provide prevention of fraud and erroneous in their service.

Chapter5 : Conclusion
Online auction and new payment intermediary system such as PayPal enable individual to get closer to `real global free market' on the internet. As can be seen, there are growing rapidly of the transaction in this area. However, in the dark side of it, the problem on security of transaction.

With this circumstance, the participant need an effective remedy in order to protect themselves against allege fraud and its relate problems. Nevertheless, the participant nowadays frequently find themselves without satisfactory in using existence these remedy. This may be, because, this remedy does not have any effective development from both government and academic writer. In other words, there are lack of interesting from authority officer and legal profession in order to discuss and develop the protection system. Furthermore, the service provider itself lack of interesting in develop their fraud protecting system to deal with the existing fraud and related problem.
Consequently, it can apparently be seen that there are lacking of appropriate regulation to solve the problem. Also., the self-policing system still be unfunctioning. As this reason, it is crucial to said that there are needs for quickly improving of both legal remedy and self-policing remedy. From this point, I believe that the suggestive solution such as stability of regulation in legal status of service provider and highly international-cooperation is the best method in current time. This will, of course, bring the best solution for C2C participant in order to solve fraud and related problem and eliminate any substantial risk from the participant.

104..This means to the website that involve in C2C transaction industry for instance eBay or PayPal.
105.. See. Yang v. Eachnet.com, (Hong Kou People's Intermediate Court), Shanghai (2000). The Chinese court decided that service provider was not held liable for Yang's damage. See also, Fuping Gao, the e-commerce legal environment in China : status quo and issue 18 Templex International and Comparative Law Journal 51.