Epic Games has agreed to pay $520 million in two settlements with the FTC over allegations the Fortnite creator violated the Children’s Online Privacy Protection Act, and used design tricks to dupe millions of players into making unintentional purchases
creator violated the Children’s Online Privacy Protection Act, and that it used design tricks to dupe millions of players into making unintentional purchases., Epic will pay a $275 million for violating the privacy reg — the largest penalty ever obtained for violating an FTC rule, the agency said. Epic must also adopt stronger privacy default settings for children and teens.
“The Justice Department takes very seriously its mission to protect consumers’ data privacy rights,” added Associate Attorney General Vanita Gupta. “This proposed order sends a message to all online providers that collecting children’s personal information without parental consent will not be tolerated.”
The FTC had voted 4-0 to refer the civil penalty complaint and proposed federal order to the Department of Justice. The DOJ filed the complaint and stipulated order in the U.S. District Court for the Eastern District of North Carolina, where Epic has its headquarters.
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