"While we disagree with the assertions, we are pleased to have reached a settlement agreement that allows us to move forward and continue building a safe and joyful experience for the TikTok community," a TikTok spokesperson told Insider of the settlement.
The settlement comes after 21 federal lawsuits were filed mostly on the behalf of minors earlier this year. Plaintiffs alleged in court documents filed in the United States District Court for the Northern District of Illinois that the tech platform violated state and federal laws by transmitting "private legally protected data." The lawsuit also alleged that TikTok "extracts a broad array of private data" that the company uses to "track and profile TikTok users" for ads.
Lawyers alleged in an amended class action suit, which NPR published, that TikTok collected information from users’ unpublished videos.
Additionally, it will delete all drafts of posts that were never actually uploaded and to not use such data in the future.
TikTok users who joined the popular video app prior to Oct. 1 and are U.S. citizens could be eligible for payment. The tech company alerted users to the settlement on Monday via an in-app notification and link on the matter.
The settlement applies to about 89 million TikTok users in the U.S., Insider reported. Eligible TikTok users must file a claim by March 1, 2022 to qualify for possible payment.