New Jersey AG Sues Children’s App Developer for COPPA Violations

New Jersey Attorney General Jeffrey S. Chiesa recently announced that his office has filed suit against 24x7 digital, LLC. The company develops and operates a series of educational apps under the "TeachMe" brand. Products include "TeachMe: Toddler," "TeachMe: Kindergarten," "TeachMe: 1st Grade," and "TeachMe: 2nd Grade," all of which are sold in the Apple App Store. These products are marketed as "simple and intuitive" enough for children to use without adult help. The suit was brought for alleged violations of the Children's Online Privacy Protection Act (COPPA). According to the NJAG, 24x7 collected children's personal information and transmitted it to a third-party company without parental notification or consent. In particular, the apps encourage players to provide personal information, including their first and last names, and a picture of themselves to create a player profile. The NJAG claims that 24x7 digital then sends players' names and unique device identification number (which number identifies the specific mobile device a player is using), to a third-party data analytics company. According to the complaint, 24x7 digital does not provide notification of this policy on its website, or obtain prior consent from the young players' parents, which violates COPPA.

Tip: This case is a reminder that apps directed to children need to comply with COPPA. In particular, apps developers need to makes sure they have appropriate measures in place to obtain parental consent before collecting any personal information about children under 13 unless such collection falls under a specific exception under COPPA.