Thanks for clarification. However from the information presented there is nothing about being sued...or is that under another aspect of law completely? That is under DMCA right?
Correct.
A copyright owner or owners would need to strike your video, removing it from YouTube as the first step in this legal process. The struck channel's owner has the right to counter-notify;
but only if they own the right to have posted the struck content in the first place.
This is where many channel owners go astray; and either have their counter-notice rejected, or even their channels terminated for filing a fraudulent legal form. Filling out the form incorrectly will cause a rejection. Obviously having no rights to the content will also cause a rejection; and in some cases, YouTube has been known to see a counter-notice where the person claimed against has said they own the rights to the content in question, and immediately terminate the channel for abuse of the legal process.
There is a somewhat notorious thread from last year where this happened to a user, and many here got involved.
So I received the email three weeks ago saying; We are concerned that some of the information within this legal request may be fraudulent. As a result, your YouTube account has been terminated. If you believe that all of the information you provided in this legal request was accurate, please...
yttalk.com
If however, the counter-notice is filed correctly and forwarded to the copyright claimant, they must sue the alleged violator within 10 business days, or YouTube must restore the video.