Disney to pay $10M to resolve alleged violations of child privacy laws, Justice Dept. says

The Walt Disney Co. has agreed to pay a $10 million civil penalty as part of a settlement to resolve allegations it violated child privacy laws, the Justice Department said on Tuesday.

A federal court order in the case involving Disney Worldwide Services Inc. and Disney Entertainment Operations LLC also bars Disney from operating on YouTube in a manner that violates the Children’s Online Privacy Protection Act, the department said.

Disney has been barred from operating on YouTube in a manner that violates the Children’s Online Privacy Protection Act, the Department of Justice said. REUTERS

The order requires Disney to create a program that will ensure it properly complies with the privacy law on YouTube in the future, it added.

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 Justice Department is firmly devoted to ensuring parents have a say in how their children’s information is collected and used,” Assistant Attorney General Brett Shumate of the Justice Department’s Civil Division said in a statement.

Disney will be required to create a program that will ensure it properly complies with the privacy law on YouTube in the future, the DOJ said. AP

Disney could not immediately be reached for a comment.

The order finalizes a settlement reached in September in a case referred to the DOJ by the Federal Trade Commission.