Assuming that the actually followed the DMCA, they would have recourse in tort law primarily for interference in contract, and malicious prosecution. There are other torts, none of which they would be likely to succeed in pursuing.
In such case, the government would pay (but not the individual prosecutors, as they are acting merely as agents of the government). Damages would be based on economic harm actually proved, i.e., lost business from cancelled customer contracts, lost ad revenue, etc. Future growth potential is not taken into account for damages purposes.
However, note that MegaUpload did not follow the DMCA. Its entire business plan was based on committing illegal activities, and was designed from the outset to maximize the revenue generated by such activities over the revenue generated by the potential legitimate uses of its services.
If you want a role model to follow in the media distribution market, look to BitTorrent.
In such case, the government would pay (but not the individual prosecutors, as they are acting merely as agents of the government). Damages would be based on economic harm actually proved, i.e., lost business from cancelled customer contracts, lost ad revenue, etc. Future growth potential is not taken into account for damages purposes.
However, note that MegaUpload did not follow the DMCA. Its entire business plan was based on committing illegal activities, and was designed from the outset to maximize the revenue generated by such activities over the revenue generated by the potential legitimate uses of its services.
If you want a role model to follow in the media distribution market, look to BitTorrent.