AUSTIN, Texas (Legal Newsline) - Texas Attorney General Ken Paxton has announced that Juxta Labs Inc., a California app developer, will settle a case involving allegations of violating the Texas Deceptive Trade Practices-Consumer Protection Act.
Juxta Labs owns and operates mobile apps for games and social media, and these apps were allegedly too easy for children of any age to access. The apps, designed for children, were free to use but generated revenue for the company via ads and in-app purchases.
Paxton’s office alleged that personal information was transmitted through these apps. For example, Internet protocol addresses and GPS coordinates were transmitted. According to Paxton's office, this information could be used to pinpoint a child’s location.
Juxta Labs signed an assurance of voluntary compliance (AVC) and agreed not to collect personal information from any child under 13. Juxta Labs will need to screen app enrollments in the future, ensuring children under 13 cannot use services that take their personal information. Additionally, Juxta Labs must delete any personal information it currently has of children younger than 13 and pay the state a $30,000 penalty.