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US judge tentatively blocks part of TikTok's $400 million privacy settlement

2 min
US judge tentatively blocks part of TikTok's $400 million privacy settlement

This digest was compiled by AI from multiple sources — links to the originals are below.

A Los Angeles federal judge tentatively denied a request to vacate a children's privacy order against TikTok, keeping oversight of the company's practices. The ruling leaves $100 million of the $400 million settlement contingent on vacating the order unresolved. A hearing on the request is scheduled for Sept. 21.

Key Facts

  • US District Judge George H. Wu tentatively denied a request to vacate a children's privacy order against TikTok's predecessor Musical.ly.
  • The $400 million settlement included $100 million contingent on vacating the prior consent decree.
  • A hearing on the request to dismiss the consent decree is scheduled for Sept. 21.
  • The White House under both President Donald Trump and President Joe Biden treated TikTok as a threat due to its Chinese ownership.

The Ruling

US District Judge George H. Wu in the Central District of California tentatively denied a request to vacate an order originally imposed on TikTok's predecessor Musical.ly. The order relates to the privacy of users under the age of 13 and was imposed on Musical.ly, which Beijing-based ByteDance Ltd. acquired and built into TikTok. Wu wrote that neither TikTok nor the US government has shown that the order's obligations have been obviated. The judge said he intends to maintain oversight of the company's privacy practices.

Settlement Terms

A $400 million settlement in August resolved privacy allegations first raised by the Biden administration. Part of that payment, $100 million, was contingent on the prior consent decree being vacated. Wu wrote that the government has not shown that changes in TikTok's ownership, compliance measures, or the recent settlement warrant termination of the order. A hearing on the request to dismiss the consent decree is scheduled for Sept. 21.

US Government Actions

The White House, across the administrations of President Donald Trump and his predecessor Joe Biden, has taken measures to alter TikTok's US operations. The government treated the company as a threat due to its Chinese ownership. A deal finalized by the Trump administration and ByteDance in January included transferring parts of the US operations to American investors. A Department of Justice spokesperson and TikTok did not respond to requests for comment after business hours.

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