Ninth Circuit Rules that Enigma Software can Proceed with its Lawsuit Against Malwarebytes for Anticompetitive Practices that Harm Consumers and Enigma Software

San Francisco, CA, September 16, 2019 – The Court of Appeals for the Ninth Circuit has ruled in Enigma Software's case against Malwarebytes Inc. that the immunity protections under Section 230 of the Communications Decency Act are "not limitless." (For Court's Opinion, go to https://www.enigmasoftware.com/legal/court-opinion-us-court-appeals-ninth-circuit-enigma-software-vs-malwarebytes-case-17-17351.pdf). In its Opinion (written by Justice Schroeder), the Court reasoned that a company may not engage in anticompetitive practices aimed at a competitor and then claim immunity under Section 230 from liability for the harm it unlawfully caused. The Court further ruled that Enigma Software's allegations of anticompetitive practices undertaken by Malwarebytes to harm Enigma Software were sufficient to support Enigma Software's legal claims against Malwarebytes. The Court rejected Malwarebytes' position that it could unilaterally block any software it chose for any reason under the "otherwise objectionable" language of Section 230 and never have to account to anyone for the harm it causes – and the Court reversed the prior dismissal of the case and remanded it to the trial court for further proceedings.

Enigma Software originally filed suit because of Malwarebytes' predatory, anticompetitive blocking of Enigma Software's independently tested, award-winning, certified program that has protected millions of users from cybersecurity threats worldwide. As set forth in the allegations of the lawsuit, Malwarebytes targeted Enigma Software precisely because Enigma Software is a successful competitor whose safe and effective anti-malware tool is popular with users. As also described at length in the lawsuit, Malwarebytes' anticompetitive blocking practices have specifically harmed consumers by depriving them of the right to use the security software of their choice, as well as the right to choose to have multiple layers of anti-malware protection on their devices to better protect against ever-increasing malware risks and cybersecurity threats.

To see the video of the Oral Argument of the case before the 9th Circuit Court of Appeals, go to https://www.ca9.uscourts.gov/media/view_video.php?pk_vid=0000015143.

To see the Opening Legal Brief filed by Enigma Software, go to https://www.enigmasoftware.com/legal/opening-legal-brief-filed-by-enigma-software-vs-malwarebytes-case-17-17351.pdf.

About Enigma Software/EnigmaSoft Ltd

Enigma Software Group USA, LLC was the original producer of SpyHunter 4 (which is the subject of the litigation) and is an affiliated company to EnigmaSoft Limited. EnigmaSoft Limited is a privately held Irish company with offices and global headquarters in Dublin, Ireland. EnigmaSoft is best known for developing and distributing SpyHunter 5, a new anti-malware software product and service. SpyHunter 5 detects and removes malware, enhances Internet privacy, and eliminates security threats – addressing issues such as malware, ransomware, trojans, rogue anti-spyware, and other malicious security threats affecting millions of PC users on the web. SpyHunter 5 has scored top grades in comparative testing by independent third-party testing labs such as AV-TEST. SpyHunter 5 has also been certified by AppEsteem, Checkmark Certified and TRUSTe.

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