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I think what is being overlooked by both ZD and DY is that eBay always intervenes in situations in which sellers wish to cancel for reasons that were never specified in the auction description.
Obvious examples are the seller gets nervous because he realizes the buyer is a new user with 0 feedback and has a history of nothing but trouble with such users. Further examples include where he does not like something about the buyer’s profile. However all of that is because there was nothing in the auction that specified those terms.
However:
1) It’s basic Contract Law that a seller is legally entitled to create Terms and Conditions for his auction. Buyers who do not comply with those Terms and Conditions cannot then complain to eBay when they voluntarily entered into a legal contract under those Terms and Conditions.
2) eBay does not in any way claim that sellers cannot create Terms and Conditions
3) eBay does not attempt in any way to override auction Terms or Conditions.
4) It is basic Contract Law that eBay has no right whatsoever to override any Contract between two parties. What eBay will do if they feel that the Terms and Conditions are not appropriate and the auction has not yet concluded is to cancel it.
5) eBay can only make a contract with each party separately for terms of listing and if there is any breach they can take action against them but as above eBay will never protect a buyer who knowingly entered into a Contract with Terms and Conditions and then tries after the fact to breach those Terms and Conditions.