TikTok poised for deal to avoid millions in privacy damages

TikTok’s owner has been under a cloud of suspicion across the Western Hemisphere that the app is dangerous for consumers. — AFP

TikTok’s Chinese owner is proposing to settle consumer privacy litigation that has exposed it to hundreds of millions of dollars in damages as the video-streaming app prepares for a possible acquisition under threat of being shut down in the United States over national security concerns.

Lawyers for ByteDance Ltd and consumers have "reached a settlement in principle, subject to certain conditions”, to resolve claims that the app unlawfully records facial-scan images of children and sends confidential information about adult users to China, according to a filing in Chicago federal court. The attorneys said they plan to file a final settlement proposal within 90 days.