JamesPirate copies FrankComposer’s music. Frank wants compensation. James does not believe he should pay anything.
Frank either storms James to take money by force or calls his private law broker to report the violation. He choses the latter because he does not want to risk his life. He knows he is a pirate and thus, he pays extra to protect himself.
Frank’s law broker calls up James and demands compensation. James tells him to call his law broker. The two broker’s discuss the matter on the telephone. Everybody agrees that the music was copied. Now they discuss how to mediate the dispute.
The pirate’s law broker says: “Well, you agreed to pay a $1000 deductible and higher premiums if you get caught. So, pay up or we will not protect you against Frank’s security guards. I hear they are coming across town as we speak. They are headed towards your house.” The pirate agrees to pay.
Now, the pirate’s law broker calls the composer’s broker and they make a deal. James’ insurance company will probably pay off Frank as a settlement.
I can’t help but notice that all of the above presumes that copying music is a form of aggression. However, Stephan Kinsella and others seem to have convincingly shown that this is, in fact, not the case.