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Netherlands: Mass Damage & Consumer Foundation files €6 billion claim against TikTok

The Mass Damage & Consumer Foundation announced, on 7 September 2021, that it had started a collective action against TikTok Inc. for its violations of the fundamental rights of consumers in the Netherlands on a large scale. In particular, the Foundation noted that through the collective action, it seeks to stand up for all users of TikTok, not just minors, and that it was seeking the Amsterdam Court to order TikTok to pay more than €6 billion. In addition, the Foundation highlighted that TikTok is in violation of various laws and regulations due to its actions and that it was particularly concerned about the collection of very personal information about consumers which TikTok uses to create profiles, which it shares with advertisers. 

Furthermore, the Foundation noted that its research has shown that TikTok, among other things:

  • collects and processes personal data without a legal basis;
  • is insufficiently transparent towards its users;
  • transfers personal data to China and the U.S.;
  • detailed consumer profiles used for advertising purposes and automated decision-making; and
  • offers users of the TikTok service insufficient protection against harmful content.

Moreover, the Foundation emphasised that the compensation consists of €6 billion in order for those who have been injured to receive a fixed amount:

  • €1,750 for each child between the ages of 6-12 years;
  • €1,500 for those between the ages of 13-17 years; and
  • €1,250 for individuals 18 years old and older.

You can read the press release, only available in Dutch, here.