Even in death, Zango still loses

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adotas_small_011.jpgADOTAS — The adware shop may have closed its doors, and its CEO in financial ruin, but its lawsuits will be affecting other adware companies now.

But at least one lawsuit has come nearer to death. A federal appellate court ruled against Zango in its dispute with spyware removal vendor Kaspersky Lab, saying the lab is immune from liability for offering programs that delete ad-serving software, according to MediaPost. The court said the federal Communications Decency Act shielded Kaspersky from liability. A “good samaritan” provision protects interactive computer services from liability for good faith efforts to restrict objectionable material.

The 9th Circuit Court of Appeals’s decision was the first time an appellate court ruled on whether the “good samaritan” provisions apply when anti-spyware companies decide to remove programs they deem objectionable.

After raising $150 million in debt and equity financing and integrating five mergers and acquisitions over the last decade, the online media shop that provided free downloads of games, music and other content in exchange for the ability to serve ads shuttered months ago.

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