Washington (HRNW)- TikTok and its parent company ByteDance have agreed to pay $400 million to settle a US Department of Justice lawsuit alleging violations of children’s online privacy.
The Justice Department filed the lawsuit in August 2024, accusing TikTok and its affiliates of collecting and using personal information from children under 13 without obtaining parental consent and failing to comply with legal requirements concerning underage users.
Under the US Children’s Online Privacy Protection Act (COPPA), companies must notify parents and obtain consent before collecting personal information from children.
Under the settlement, TikTok will pay $300 million immediately, while an additional $100 million will be paid if a court terminates an earlier consent order involving TikTok’s predecessor, Musical.ly.
The case is also connected to a 2019 enforcement action against Musical.ly, which resulted in a $5.7 million fine for violating children’s privacy laws.
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