Tech Bleg: Cell Phone Spyware

I have questions regarding this article on software that can supposedly turn a cell phone into a listening or tracking device.

My impression is that a cell spy must have the phone in his possession to install the malware, that it can't be done remotely to a non-cooperative phone. Is this correct?

The article states that doing this to a cell phone is against the law. But is it legal to do to your own cell phone? Or rather, one that is in your own name? If I give then give my cell phone to another person to use, have I violated the law? It seems to me that the capability could be used for purposes I would regard as legitimate, e.g. keep track of teenagers.

Are all phones and/or providers equally vulnerable? I have a Razr V3c with Verizon, and I have intermittently tried hacking it myself to download the pictures on it. I have been unsuccessful.