TikTok will pay up to $400 million to settle United States government lawsuits over allegations that the social media platform unlawfully collected personal data from children under the age of 13. The Department of Justice announced the agreement on Friday amid growing international pressure on technology companies over minor protection.
The settlement resolves federal court proceedings initiated in August 2024 by the Department of Justice and the Federal Trade Commission. Regulators accused TikTok of knowingly allowing millions of children under 13 to create user accounts and collecting their personal details without notifying parents or securing parental permission.
Federal authorities also targeted accounts opened in Kids Mode, a dedicated setting intended for younger audience members. The government complaint stated that child users were able to interact with adult users and access adult content on the video sharing service, while TikTok routinely failed to act on account deletion requests submitted by parents.
The agreement includes no admission of liability by TikTok. The platform, which allows users to create and share short videos, is one of the world's most popular social media applications.
Immediate payments and regulatory history
Under the terms of the agreement, TikTok is required to pay $300 million immediately. An additional $100 million may be added to the penalty if a court sets aside a 2019 order that has governed the company's data practices since a previous settlement with federal regulators.
That earlier action involved Musical.ly, a short-form video application bought by Chinese technology group ByteDance and later merged into TikTok. Musical.ly agreed to pay $5.7 million in 2019 to resolve federal claims that it improperly collected information from minors.
The Department of Justice described the new agreement as one of the largest financial penalties ever secured under the Children's Online Privacy Protection Act. Enacted by Congress in 1998, the law requires commercial website operators and online services to obtain verifiable parental consent before gathering personal information from children under 13.
Corporate restructuring and safety measures
TikTok has altered its organizational structure in the United States since federal officials brought the lawsuit in 2024. In January, control of the platform transferred to a joint venture with a majority American stake, a structural shift designed to avert a nationwide ban passed by Congress over data security concerns. ByteDance now holds an equity stake of slightly less than 20 percent in the platform.
The Department of Justice noted that TikTok has since undergone changes across its ownership, management team, and internal compliance protocols. Government officials said the company introduced measures intended to bolster safeguards for younger users and strengthen parental control settings.
Global scrutiny and mental health litigation
Legal and regulatory pressure on TikTok extends beyond federal agencies in Washington. At the end of July 2026, the European Commission accused TikTok of failing to provide adequate protection for underage users across the European Union, highlighting specific concerns over cyberbullying and exposure to potential online predators.
The platform also faces ongoing litigation in American courts alongside other major social media services, including Meta, Snapchat, and YouTube. Families, local school districts, and state attorneys general have sued the platform operators, alleging that their products have contributed to a decline in adolescent mental health.
