The Legitimacy Of Shanghai Private Car Sale

The auction of COE in Shanghai has caused many questions, the public cannot accept its legitimacy, some scholars believe the auction is putting upon a pre-license of the vehicle registration, and breaking Administrative Approval Law and the Road Traffic Safety Law of P.R. China, it will weaken its acceptable degree of the auction.First, I clarify the legal nature of the auction of the COE in Shanghai. Then I discuss why the government of Shanghai chooses this way to control the quantity of cars in shanghai. Then I discuss the reasons for the low public willingness to accept its legitimacy. Finally, this paper puts forward some suggestions to improve the auction’s acceptable degree in Shanghai.The dispute about the legitimacy of the auction of COE in shanghai has many damages to the cultivation of the process of the rule of law and public law belief in China. Dispute itself is no problem; the biggest problem is the controversy has been lasting for over twenty years. For legal theory research, the time is very short; though for legal practice, the time almost can set a statute law. To resolve their disputes as soon as possible and put an end to the uncertain state of the auction’s legality is the ultimate goal of this article.