This has too many strings attached to it, and can now be classified as adware.
I do not think it's right to call this adware.
I'm not saying it's good or bad, just not adware.
I think the technical term for this is
"bundling" with "opt out".
That is, the free program is being bundled with some other tools (which ARE themselves adware, an important point), and the default checkbox is set to install these other programs.
Bundling such software is troublesome, especially when the default is to install it, because you are guaranteed to end up with novice users installing stuff that they are unhappy with and do not know how to get rid of. That's why I wouldn't package such stuff with my software.
Adware is when you have a piece of software which itself is displaying advertisements.
Now whether adware is better or worse than bundling is debatable and may depend on the specific implementation and what you bundle with..
As to whether it should still be called "freeware".. we've had this discussion before, I don't want to drag it up again too much since we've beaten that horse to death and what to call it isn't that important.