Bullshit spyware it sounds like. but no... you don't need to format your drive. Just do a system restore to a date when you're certain that there was no problems. That way you have no loss of files but you may need to reninstall some shit.
Just go to accessories > System Tools > System Restore and click on one of those blue bolded dates you want and hey presto, the problem should be solved. If not, send us the name of the software that's trying to sell you bogus nonsense, unless that Vista Software Recovery was it because if that's the case you're going to have to fiddle with the registry files which is a bit of a hassle.
EDIT: Disregard that... I suck cocks. I didn't notice that you started a re-format.
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"I'm staunchly atheist, I simply donโt believe in God. But I'm still Catholic, of course. Catholicism has a much broader reach than just the religion. I'm technically Catholic, it's the box you have to tick on the census form: 'Don't believe in God, but I do still hate Rangers..'"
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