"Europe", "Middleman"? Loren is right about the check. Almost certain to be a counterfeit.
This has all the signs of a 419.
Hang on to that "down payment": it may have come from a stolen CC, or hacked Paypal account, and PayPal will soon be taking an interest in the matter.
The buyer has defaulted on the purchase and no longer has a right to claims. But, You might want to check the seller's policy on eBay just to see what they say so you don't get a bad rating by accident.
Again, excellent advice. Check e-bay's policy on defaulted purchase - and maybe put them in the loop - before re-posting the item for sale.
Good luck on the sale - and on avoiding future
guymen(Nigerian slang for 'con artist")