Generally speaking, clients of web services expect certain language independent data types, strings, integers, floating point, etc - plus repeating structures with these data types.
See
for example, this discussion.
Language Independent is a key
word here. When you say List in
Java you are talking about a Java specific collection object implementing the List interface which has methods like add(), iterator(), contains() etc etc. All things that a client of your web service does not need or understand.
It seems to me that when you are thinking "list" you are really thinking array. It is very easy to get an array out of any List with the marvelous toArray() method.
Bill