Washington [US], August 3 : The US Justice Department filed a lawsuit against TikTok and its parent company, ByteDance on Friday, accusing them of failing to protect children's privacy on the popular social media app, as reported by Nikkei Asia.
This lawsuit is part of the Biden administration's ongoing effort to address concerns surrounding TikTok's data practices and its implications for national security, Nikkei Asia reported.
The lawsuit alleges that TikTok violated the Children's Online Privacy Protection Act (COPPA) by collecting personal information from users under 13 without parental consent. The Justice Department claims TikTok "knowingly permitted children to create regular TikTok accounts and collect and retain personal information from these users without parental consent," according to Nikkei Asia.
Nikkei Asia further stated that TikTok, which has approximately 170 million users in the US, is facing additional pressure from a new law that would require ByteDance to divest TikTok's US assets by January 19, 2025, or face a ban. This lawsuit adds to TikTok's mounting legal troubles, reflecting heightened scrutiny of the platform's data practices.
The Federal Trade Commission (FTC) has joined the lawsuit, seeking penalties that could amount to billions of dollars if TikTok is found liable for the alleged privacy violations.
FTC Chair Lina Khan stated, "TikTok knowingly and repeatedly violated kids' privacy, threatening the safety of millions of children across the country."
Nikkei Asia noted that the FTC is pursuing penalties of up to USD 51,744 per violation per day, potentially totalling billions if TikTok is found liable.
TikTok has responded to the allegations by disputing the claims, arguing that many of the concerns relate to past practices that are either factually incorrect or have already been addressed. "We are proud of our efforts to protect children, and we will continue to update and improve the platform," TikTok said in a statement.
The lawsuit follows reports from Reuters in 2020 that investigated TikTok's compliance with a 2019 agreement aimed at protecting children's data. The company has also faced fines from the European Union and the UK for similar issues.
In related legislative developments, the US Senate recently passed a bill extending COPPA to cover teenagers up to age 17, banning targeted advertising to minors, and allowing parents and children to delete their information from social media platforms. The bill now awaits approval from the Republican-controlled House, which is on recess until September.
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