The issues of the Case of the first instance: 1. whether the infringement the Plaintiff alleged could be established; 2. how does the Defendant bear the civil liabilities.

　　Upon hearing the Case, the Court of the first instance verified that: The software involved in the Case is the software work developed and finished by the Plaintiff, and it was registered at the US Copyright Office one day in 2004. One day in 2008, the Copyright Bureau of Z Province jointly with the Copyright Bureau of Y City inspected the software installed in the computers used in the Defendant''s company and found there were 2 computers in which each installed 1 software involved in the Case. One day in 2008, the Defendant bought the upgrade version of the software bought in the early days from Company C （the sales agent of the Plaintiff''s products）。

　　The Court of the first instance held that: 1. The Plaintiff enjoys the copyright of the software involved in the Case. The Defendant failed to prove the legal sources of the software involved in the Case or the legal authorization from the Plaintiff. The Defendant, a design and manufacture company of a kind of product installed the software involved in the Case （a professional design software） in the computers in its business place, which is the commercial use of the software involved in the Case. The Defendant infringed upon the software copyright of the Plaintiff and should bear the compensation liability.

　　2. The damages of the copyright holder of the software may be equal to the market price of the software normally licensed or sold. However, the market price of the computer software gradually declines with the upgrade of software version and the software will finally be taken off the market. In addition, the upgrade version of the software involved in the Case that the Defendant bought during the trial of the Case was only a small part of the data packet of the software involved in the Case. The compensation amount the Defendant should bear will be comprehensively determined according to the above-mentioned factors.[2]