The U.S. Department of Justice has announced a $400 million settlement with TikTok, ByteDance and affiliated entities, bringing an end to litigation over the company’s compliance with the Children’s Online Privacy Protection Act and related federal regulations.
Under the settlement, TikTok will pay $300 million immediately. The company will be required to pay the remaining $100 million after a court enters an order vacating a previous consent decree involving TikTok’s predecessor, Musical.ly. The Justice Department described the agreement as one of the largest recoveries ever secured in a COPPA case.
“This settlement is a major victory for American children and parents,” said Associate Attorney General Stanley E. Woodward Jr. “The Department’s priority is ensuring that children are protected online and that companies entrusted with their personal information meet their legal obligations. This resolution secures a substantial recovery while reinforcing the protections that families expect and deserve.”
The Justice Department said the settlement follows changes TikTok has made since the government filed its complaint in 2024. Those changes include adjustments to the company’s ownership, management, compliance operations and privacy practices.
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TikTok has also introduced measures intended to provide stronger safeguards for younger users. According to the department, those efforts include improved age-related controls and expanded parental oversight.
“Companies that collect children’s personal information must comply with the law,” said Assistant Attorney General Brett A. Shumate of the Justice Department’s Civil Division. “This resolution secures a significant monetary recovery and reflects the Department’s commitment to ensuring children receive the full protections that Congress mandated.”
The Justice Department said the compliance changes made by TikTok have advanced the public interests at the center of the lawsuit and strengthened protections for millions of American families.
Rather than continuing with potentially lengthy litigation, the settlement gives the government a substantial financial recovery while taking into account the privacy and compliance measures TikTok has already implemented.
The department said the agreement is intended to deliver practical results for families by maintaining stronger protections for children without the additional delays and uncertainty associated with prolonged court proceedings.
The lawsuit was filed in the U.S. District Court for the Central District of California. The case was handled by the Civil Division’s Enforcement and Affirmative Litigation Branch following a referral from the Federal Trade Commission.