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 © 2025 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

Canada Exempts Online Adult Content From 'CanCon' Quotas

The Canadian Radio-television and Telecommunications Commission (CRTC) has updated its broadcasting regulatory policies, exempting streaming adult content from “made in Canada” requirements that apply to other online material.

Creator Law Firm 'OnlyFirm' Launches

Entertainment attorney Alex Lonstein has officially launched OnlyFirm.com for creators.

German Court Puts Pornhub, YouPorn 'Network Ban' on Hold

The Administrative Court of Düsseldorf has temporarily blocked the State Media Authority of North Rhine-Westphalia (LfM) from forcing telecom providers to cut off access to Aylo-owned adult sites Pornhub and YouPorn.

FSC: NC Law Invalidating Model Contracts Takes Effect December 1

The Free Speech Coalition (FSC) announced today that North Carolina's Prevent Exploitation of Women and Minors Act goes into effect on December 1.The announcement follows:

NYC Adult Businesses Seek SCOTUS Appeal in Zoning Case

Attorneys representing a group of New York City adult businesses are asking the U.S. Supreme Court to hear an appeal 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.

Ofcom Investigates More Sites in Wake of AV Traffic Shifts

U.K. media regulator Ofcom has launched investigations into 20 more adult sites as part of its age assurance enforcement program under the Online Safety Act.

MintStars Launches Debit Card for Creators

MintStars has launched its MintStars Creator Card, powered by Payy.

xHamster Settles Texas AV Lawsuit, Pays $120,000

Hammy Media, parent company of xHamster, has settled a lawsuit brought by the state of Texas over alleged noncompliance with the state’s age verification law, agreeing to pay a $120,000 penalty.

RevealMe Joins Pineapple Support as Partner-Level Sponsor

RevealMe has joined the ranks of over 70 adult businesses and organizations committing funds and resources to Pineapple Support.

OnlyFans Institutes Criminal Background Checks for US Creators

OnlyFans will screen creators in the United States for criminal convictions, CEO Keily Blair has announced in a post on LinkedIn.

Show More