In a civil case, a person or company sues another person for a dispute. On the contrary, a criminal case is one in which the government pursues the issue. Without setting the threshold value, the legitimate violation or the required state of mind, there can be no criminal liability. If the defendant can prove that they had a legitimate copy or use, for example, through the first-sale doctrine, then the burden of proof lies with the government.
Next, Section 3 considers the producer's optimal strategy under a civil penalty, while Section 4 considers the producer's optimal strategy under criminal law. And thirdly, the imposition of small criminal penalties without civil penalties is socially desirable when production costs are low. On the other hand, Banerjee (200) considers the case in which the penalty is a transfer from the offender to the victim (civil sanction). A civil infringement lawsuit is something you wouldn't want to see criminally prosecuted as well.
Civil statute imposes strict liability for infringement and high statutory damages, while a wide range of conduct could fall under criminal statutes. Secondly, the number of illegal users under the criminal law scheme is lower than that of the civil law scheme. No knowledge or intention is strictly necessary to determine a civil violation, to the extent that it is a strict liability breach.
