TIKTOK has settled a $400 million lawsuit with the U.S. Department of Justice (DOJ) concerning violations of children's privacy laws. The settlement includes an immediate payment of $300 million and an additional $100 million contingent upon vacating a previous consent decree against its predecessor, Musical.ly. U.S. Associate Attorney General Stanley E. Woodward Jr. described the settlement as a significant win for children and parents.
The lawsuit accused TikTok and its parent company, ByteDance, of illegally collecting personal data from users under 13 without parental consent, and failing to delete such accounts upon request. The settlement coincides with increasing scrutiny of social media companies regarding children's safety online.