WASHINGTON: TikTok and its parent company ByteDance have agreed to pay $400 million to settle a US Justice Department lawsuit alleging that the short-video platform violated federal children’s privacy laws.
The Justice Department said the settlement resolves allegations that TikTok failed to properly protect children’s personal information and did not obtain parental consent before collecting data from users under 13. The lawsuit, filed in 2024, alleged violations of the Children’s Online Privacy Protection Act and related regulations.
Associate Attorney General Stanley Woodward said the department’s priority was ensuring that children are protected online and that companies handling their personal information comply with the law.
Under the settlement, TikTok will pay $300 million immediately and an additional $100 million once a court enters an order vacating a previous consent decree against TikTok’s predecessor, Musical.ly.
The earlier Musical.ly case dates back to 2019, when the Federal Trade Commission alleged that the service knowingly allowed children under 13 to use the platform and collected their names, email addresses and other personal information without obtaining parental consent. Musical.ly agreed to pay $5.7 million at the time.
TikTok did not immediately comment on the latest settlement.
The Justice Department said TikTok has made significant changes since the 2024 complaint, including changes to its ownership, management, compliance systems and privacy practices. The company has also introduced measures aimed at improving age controls, protecting younger users and strengthening parental oversight.
A TikTok US joint venture said in a court filing that all users are required to provide their date of birth and that the platform has developed systems to identify children under 13 who misrepresent their age. The filing also said the company has hundreds of personnel involved in underage moderation and removes tens of thousands of accounts identified as belonging to underage users.
The settlement is one of the largest recoveries obtained in a US case involving children’s online privacy. The Justice Department said the agreement would strengthen protections for American families without the delay of prolonged litigation.
