> Provide an incentive for companies to regulate each other

Do you think there is a reason every modern democracy resists privatising criminal prosecution? (They had it in Rome. We probably need a history of law section in the basic high-school curriculum.)

The justice system in this hypothetical would not be private, it's just that companies would be trying to sue each other for breaking the rules, accidentally advancing the public interest.

> companies would be trying to sue each other for breaking the rules

We already have private enforcement of many rules. Environmental ones, for example. We’re specifically discussing criminality, putting people in jail.

Fair enough. I just see it as an escalation in deterrence.