TIKTOK has agreed to pay $400 million to settle claims related to violations of child privacy laws by collecting data from users under 13. The U.S. Department of Justice announced this lawsuit settlement, part of a case initiated in 2024 by the DOJ and FTC, which accused TikTok of allowing underage users to create accounts and improperly gathering their data. TikTok will pay $300 million immediately and an additional $100 million upon the removal of an earlier consent decree.
In the wake of the lawsuit, the company has enhanced its privacy measures and controls to better protect younger users. The settlement is noted as a significant recovery under the Children’s Online Privacy Protection Act (COPPA) and emphasizes the DOJ's commitment to child protection online.