The Walt Disney Company agreed to pay a $10 million civil penalty as part of a settlement to resolve allegations that it violated children’s privacy laws, the Justice Department said Tuesday.
A federal court order in the case involving Disney Worldwide Services Inc and Disney Entertainment Operations LLC also prohibits Disney from operating YouTube in a way that violates the Children’s Online Privacy Protection Act, the department said.
The order requires Disney to create a program that ensures proper compliance with privacy law on YouTube in the future, the statement added.
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The law requires websites, apps, and other online services aimed at children under 13 to notify parents about what personal information they collect and obtain verifiable parental consent before collecting such information.
“The Department of Justice is firmly committed to ensuring that parents have a say in how their children’s information is collected and used,” Brett Shumate, deputy assistant secretary of the Justice Department’s Civil Division, said in a statement.
In September, Disney agreed to pay $10 million to resolve Federal Trade Commission allegations that the company illegally allowed the collection of personal data from children who watched child-directed videos on YouTube, without notifying parents or obtaining their consent.
With information from Reuters
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