AOL/Netscape hit with privacy lawsuit

The law firm of Abbey, Gardy & Squitieri has sued AOL (aol) in federal court in New York, claiming that Netscape Communications Inc.'s SmartDownload software illegally monitors downloads of .exe and .zip files.

SmartDownload is a program that's usually installed by people downloading the Netscape browser. After installation, the service is automatically activated whenever a user downloads files from the Web. AOL acquired the software when it bought Netscape in November 1998.

The suit seeks class action status and was filed on behalf of Christopher Specht, who runs several Web sites where people can download files.

The suit claims that SmartDownload captures and transmits back to Netscape uniquely identifiable information when a person visits a Web site and downloads software.

"Unbeknownst to the members of the Class, and without their authorization, defendants have been spying on their Internet activities," the suit says.

That action, the suit claims, permits Netscape to create a profile of a customer's downloads.

AOL was not immediately available for comment.

The privacy violation claims could have ramifications for other disputes over who has the right to see what information people have downloaded. For example, the music industry has been eager to get the names and numbers of people it claims have illegally downloaded copyrighted music.

AOL is currently the target of several class action suits. A Florida judge recently approved class action status in a suit accusing AOL of illegally charging hourly subscribers who were forced to view pop-up ads. AOL said it plans to appeal.

A separate suit, filed in federal court in Tampa, alleges that the company failed to notify some customers that their calls were long distance and did not provide local-access numbers.