I've seen way worse deals on eBay. Bonk 3 HuCard, Magical Chase US, etc. Recently I saw an auction for Card Fighters 2 (Neo Geo Pocket) that was about $300 or so. Nuts.
Then there is this dude in Japan selling old anime laserdiscs for *crazy* prices. Like Macross: DYRL perfect Edition (CAV) for $250 when it was only something like 12,800 yen brand new, and often goes for less than $20 on eBay regualrly.
How they "get away" with it isn't really the question. Since the price is way way highter than anyone will pay, the question is, "Why do they pay the re-list fees over and over again for stuff that won't sell?" This one guy has had the Urusei Yatsura TV with a BIN of $5000USD for...a couple of years, I think. Granted, its a very nice package, the biggest LD box I personally know of at 50 LDs, and an original price of...something like $2800 I think, but still, that was a long time ago. You can get it on DVD now, the show isn't very popular any more, and nobody is going to pay that much for it.