Today, Michigan Attorney General Dana Nessel initiated legal action against Roku, Inc. in the U.S. District Court for the Eastern District of Michigan. The lawsuit asserts that the company violated the Children’s Online Privacy Protection Act (COPPA) and the Michigan Consumer Protection Act. The allegations state that Roku collected and allowed third parties to collect children's personal information without the necessary parental consent or notice.
Roku is widely used in nearly half of American households, including millions in Michigan. The platform provides diverse services such as streaming, ad-supported programming, and live TV, catering to both adults and children. Unlike its competitors, Roku does not allow parents to create children’s profiles, which subjects children to similar data practices as adults.
The lawsuit contends that Roku gathers children’s data, including their locations, voice recordings, IP addresses, and browsing history, all of which are protected categories under COPPA. Further allegations indicate that Roku allows third-party channels to attract advertisers and content providers by collecting children's information, increasing advertising revenue. The lawsuit also notes Roku's relationships with third-party web trackers and data brokers, some of which have previously faced legal actions by the Federal Trade Commission. Additionally, COPPA's restrictions on voice data collection are allegedly ignored by Roku. The lawsuit claims Roku misinforms parents regarding its data practices and the protections available.
“Roku has blatantly violated children’s privacy laws, illegally exposing kids across Michigan to invasive data collection practices,” Nessel stated. “We cannot allow companies to jeopardize the security of our children’s personal information. My office remains committed to holding accountable companies that violate the rights of Michigan families and seek to profit at the expense of children’s safety and privacy.”
The lawsuit seeks to cease Roku's alleged data collection practices, enforce compliance with federal and state laws, and obtain damages, restitution, and penalties for the purported conduct.