Sharing economy repurposed the concept of private governance in law and economics literature. This concept emerged as an institution that exercises political power tied to public governance. It mostly appears in a political context in international scale with regard to economy and environment. The domestic notion of this concept is not in a legal context. It is mostly in a political context as private politics. In the context of sharing economy we educe three general approaches shaping the legal position of this concept; recognition, regulation, and restriction. In regard to the general concept of private governance in the context of law and economics, this article aims: to identify the legal models and legal frameworks of private governance; to analyze the legal position of private governance; and to locate the public governance in relation to private governance.