Disney settles with DOJ for alleged child privacy violations with $10M payment

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  • The Walt Disney Co. has settled claims that it violated child privacy laws, said the U.S. Department of Justice, with a federal court entering a stipulated order resolving the case, on Tuesday.

The company agreed to pay $10 million in the case in September.

The Justice Department accused Disney of incorrectly labeling some videos on YouTube as not being “made for kids.” This allowed Disney and others to gather personal information from children younger than 13, and then use that data for targeted ads without getting permission from their parents.

The Federal Trade Commission looked into the situation and then passed the case on to the Justice Department.

The company is accused of breaking the Children’s Online Privacy Protection Act (COPPA). This law requires websites and online services to protect the personal information of children under 13 by getting permission from their parents before collecting any data.

Disney prioritizes the safety and well-being of children and families. The company has a history of following strict rules to protect children’s privacy and will continue to invest in technology to remain a leader in this area, according to a statement released in September.

On Tuesday, Assistant Attorney General Brett A. Shumate announced that the Justice Department is committed to giving parents control over how their children’s information is gathered and used. He stated that the department will quickly address and stop any illegal violations of parents’ rights to protect their children’s privacy.

Besides a $10 million fine, Disney is now legally barred from using YouTube in ways that break child privacy laws (COPPA). They also have to establish a plan to guarantee future compliance with these laws on the platform, according to the Justice Department.

Disney could not immediately be reached for additional comment.

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2025-12-31 21:05