Disney has agreed to pay $10m to settle allegations that it breached child privacy laws in the United States, authorities have said.

A federal court approved the settlement to resolve allegations brought by the US Federal Trade Commission, the Department of Justice said on Tuesday.

The order also requires Disney to operate its YouTube channel in accordance with data-protection rules and establish a programme to ensure future compliance.

Disney had agreed to settle the claims brought by the US antitrust watchdog in September.

The civil case stems from allegations that Disney collected children’s personal data without parental consent via its videos on YouTube.

Antitrust officials alleged that Disney had wrongly designated more than 300 YouTube videos, including content from The Incredibles, Toy Story, Frozen, and Mickey Mouse, as not being aimed at children.

YouTube requires content creators to designate videos as “Made for Kids” or “Not Made for Kids” to comply with the Children’s Online Privacy Protection Rule.

Under the rule, companies in the US are prohibited from collecting data from children below 13 without parental notification.

Other major companies that have paid settlements under the rule, which has been amended several times since its enactment in 2000, include Google and Microsoft.

Disney did not immediately respond to a request for comment.

“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 A Shumate said in a statement.

“The Department will take swift action to root out any unlawful infringement on parents’ rights to protect their children’s privacy.”

Disney, which has its headquarters in Burbank, California, is one of the world’s largest entertainment companies, with revenue for the fiscal year 2025 reaching $94.4bn. (Aljazeera)

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