Disney has agreed to pay $10 million in civil penalties to settle allegations of violating federal data collection laws designed to protect children. This is reported by Gizmodo, according to UNN.
Details
The U.S. Department of Justice (DOJ) announced on Tuesday that a federal court has issued an agreed-upon judgment to resolve a case against Disney Worldwide Services and Disney Entertainment Operations. In a complaint filed in the California District Court, the DOJ alleged that Disney failed to label some of its YouTube videos as child-directed. By failing to do so, Disney and its partners allegedly were able to show ads to children on YouTube and unlawfully collect children's personal information without notifying parents and obtaining their consent.
The lawsuit alleged that the mislabeling violated the Children's Online Privacy Protection Act (COPPA), which prohibits website operators from knowingly collecting personal information from children under 13 without first obtaining parental consent.
The Department of Justice is firmly committed to ensuring that parents have a say in how information about their children is collected and used.
He also added that the Department would take prompt action to eradicate any unlawful violations of parents' rights to protect their children's privacy.
According to the U.S. Department of Justice, Disney's content on YouTube has garnered billions of views in the United States alone. The complaint alleges that the mislabeled videos were distributed across several Disney-owned YouTube channels.
In addition to the financial penalty, the court order prohibits Disney from violating the Children's Online Privacy Protection Act (COPPA) on YouTube and requires the company to create an ongoing content review program to ensure its videos on the site comply with the law.
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