The FTC Refers Complaint Against TikTok to DOJ

The Federal Trade Commission (FTC) of the United States announced on Tuesday that it has referred its complaint against TikTok and its Chinese parent company ByteDance to the US Department of Justice.

Violation of Children’s Online Privacy Act

The FTC began its investigation after reaching a settlement in 2019 with Musical.ly, the predecessor of TikTok, regarding violations of the Children’s Online Privacy Protection Act (COPPA). The FTC has been looking into whether TikTok violated federal law prohibiting «unfair and deceptive» business practices.

Grounds for Legal Action

The regulator stated that it is referring the matter to the Department of Justice because the investigation «has uncovered grounds to believe that the mentioned respondents are violating or are intending to violate the law.»

Public Interest Disclosure

«While the Commission typically does not publicly disclose referral facts, we have determined that it is in the public interest and that the process is in the public interest,» the FTC said.

Response from TikTok

During a Senate hearing in January, TikTok CEO Shou Zi Chew stated that the company employs around 40,000 people in its trust and safety team, but he added that he does not know how many underage users are using the social media platform. A TikTok representative stated that they have been working with the FTC on this matter for over a year and are «disappointed» that the agency has decided to move towards litigation.