Zango sues PC Tools for $35 million

‘Reformed’ adware shippers upset by detection and removal.

Adware and sometime spyware maker

Zango

has brought a suit against anti-spyware firm

PC Tools

complaining that the

Spyware Doctor

product, a pared-down version of which is included in the freely available

Google Pack

set of utilities provided by

Google

, overestimates the dangers of the

Zango

product range and removes installed software without consent from the user.

Zango

, formerly

180Solutions

and incorporating

Hotbar

, produces adware-driven ‘online media content’, which has been the source of much controversy in recent years, with several lawsuits brought against the firm for employing deceptive practices, hiding its software or blocking removal, and gathering private data without consent. After several high-profile cases, including a

payout of over $3 million to the FTC

in November 2006,

Zango

has repeatedly stated its intention to reform its software to remove such spyware tactics, a requirement of the settlement made with the FTC.

However, the reputation earned by years of suspect behaviour, including allowing ‘affiliates’ to earn money from

illicit distribution of

Zango

products to unsuspecting users

, continues to dog the firm, and

PCTools

‘ recent decision to increase the threat rating applied to the company’s software has led to the lawsuit, brought on Tuesday in a court in Seattle, Washington.

Zango

is demanding $35 million in damages for the harm caused to its profits by

Spyware Doctor

alerting on and removing their products.

Few details of the case have emerged, but a brief summary of the complaint can be found

here

and more analysis is

here

.

Posted on 18 May 2007 by

Virus Bulletin