Overview
- On September 2, the DOJ filed a complaint on an FTC referral and lodged a proposed order requiring Disney to pay $10 million, create a Mandated Audience Designation Program, and report compliance for ten years.
- Two putative class actions followed within days: a September 5 filing in the Central District of California and a September 9 filing in Los Angeles County Superior Court.
- Both complaints allege Disney failed to mark certain YouTube uploads as “Made for Kids,” enabling unlawful data collection from children, and they seek damages exceeding $5 million.
- Claims include intrusion upon seclusion, invasion of privacy, trespass to chattels, unjust enrichment, and negligence, with additional California statutory and constitutional privacy claims in the state case.
- Disney acknowledged mislabeling and emphasized child safety in a statement, while industry commentary speculates YouTube could reassess Disney content distribution, which has not been confirmed; separately, Google/YouTube reached a $30 million class-action settlement in August.