Defunct Zango Loses Case Over Kaspersky's Filter Program

SEATTLE — Defunct adware company Zango now has become a loser at the federal appeals level.

The 9th U.S. Circuit Court of Appeals ruled this week that antivirus maker Kaspersky Internet Security is entitled to immunity, under the safe harbor provision of the Communications Decency Act, from a suit claiming that its software interfered with the use of downloadable programs by customers of Zango.

The court ruled that Kaspersky, which treated Zango's software as malware and "protected" users from it, could not be held liable for any actions it took to make the technical means to restrict access to objectionable material available to others.

Zango had argued that Kaspersky disabled the Zango toolbar that displays ads related to a user's searches. Whenever Zango's software tried to access the Internet, Kaspersky would display a warning and block the program.

Zango, which had worked with adult companies to find more customers, pulled the plug on its business in April after it was left unable to pay off its debts.

The company, in the complaint, attributed a decline in the number of its customers in 2007 to interference by the Kaspersky software and by other antispyware software that blocked the operation of the Zango program.

The 9th Circuit, in its ruling, said the case zeroed-in on the degree of threat posed to users by Zango's software.

“Kaspersky contends that Zango's software is adware, and possibly spyware,” the court said. “Spyware, which is often installed on a computer without the user's knowledge or consent, covertly monitors the user's activities and exposes the user to the risk that his or her passwords and confidential information may be stolen.

“Zango maintains that it installs its software only upon receiving user consent, and that it provides easy means of uninstalling Zango software from a user's computer.”

In its original case filed at King County Superior Court, Zango was seeking claims for an injunction, tortious interference with contractual rights, violation of the Washington Consumer Protection Act, trade libel and unjust enrichment.

After Kaspersky removed the case to federal court, the district court denied Zango’s request for a temporary restraining order, and Kaspersky subsequently filed a motion to dismiss, which was then granted on the ground that Kaspersky was entitled to immunity.

Zango argued that Congress intended statutory immunity under the CDA to apply to Internet content providers and not companies that provide filtering tools, but the court disagreed.

The case is Zango Inc. vs. Kaspersky Lab Inc., 07-35800.

Related:  

Copyright © 2026 Adnet Media. All Rights Reserved. XBIZ is a trademark of Adnet Media.
Reproduction in whole or in part in any form or medium without express written permission is prohibited.

More News

SWR Data Publishes 2026 'Hot List' Report

Adult industry market research outfit SWR Data has published its 2026 Hot List report on the top creator platforms of 2025.

Adult Chat Platform Arousr Sets Human-Only Host Policy

Adult chat platform Arousr has announced a policy to only use verified human hosts, not chatbots.

Arizona State Legislator Proposes Porn Ban

A member of Arizona’s House of Representatives on Wednesday introduced a bill that would make it illegal to produce or distribute adult content in that state.

SinfulXAI to Launch New AI Generator

AI companion platform SinfulXAI has announced its new AI video generator, launching in February.

SCOTUS Won't Hear Appeal in NYC Adult Businesses Zoning Case

The U.S. Supreme Court has declined to hear an appeal by a group of adult businesses of a lower court’s decision allowing enforcement of a 2001 zoning law aimed at forcing adult retail stores out of most parts of New York City.

AEBN Publishes Popular Searches for November, December

AEBN has published the top search terms for November and December from its straight and gay theaters in all 50 states and the District of Columbia.

X3 Expo Day 2 Delivers Stars, Screenings and Fan Favorites

The sun once again shone brightly on the historic Hollywood Palladium as throngs of avid fans made their way through the doors, ready to experience Day 2 of the 2026 X3 Expo.

X3 Expo Kicks Into Gear With an All-Star Lineup

Outside the historic Hollywood Palladium on Friday, a huge crowd of fans lined Sunset Boulevard, eagerly awaiting the opening of the 2026 X3 Expo and their big chance to meet the cream of the crop of adult stars.

2026 XBIZ Honors Salutes Resilience Across the Online Adult Industry

The 2026 XBIZ Honors packed house Wednesday night, turning the Kimpton Everly Hotel’s Nichols Ballroom into a gala celebration of industry excellence.

Elevated X Integrates CCBill for Payment Processing

Elevated X has added CCBill payment processing integration to its ELXNexus traffic management and affiliate software.

Show More