TikTok loses bid to dismiss lawsuit alleging its 'addictive design' exploits kids
"The Court's decision is an important step toward holding TikTok accountable for unlawful practices that put children at risk," said Attorney General John Formella in a statement Friday.
The ruling from Judge John Kissinger Jr. of New Hampshire Superior Court on Tuesday ruled that the allegations were valid and specific enough to proceed, writing the claims are "based on the App's alleged defective and dangerous features" and not the content in the app.
The state alleges that social media platform TikTok is intentionally designed to be addictive and aims to exploit its young user base.
The suit accuses the platform of implementing "addictive design features" meant to keep children engaged longer, increasing their exposure to advertisements and prompting purchases through TikTok's e-commerce platform, TikTok Shop.
CNBC has reached out to TikTok for comment.
The case is the latest example of attorneys general targeting design elements and safety policies from tech companies instead of the content on the platforms, which is created by other users.
Meta was accused by several states of implementing addictive features across its family of apps that have detrimental effects on children's mental health.
New Mexico filed a lawsuit against Snapchat in September, alleging the app was creating an environment where "predators can easily target children through sextortion schemes."
In April, social-messaging platform Discord was sued by the New Jersey attorney general over misleading consumers about child safety features.
Congress has attempted to take action on regulating social media platforms, but to no avail. The Kids Online Safety Act was reintroduced to Congress in May after stalling in 2024.
The measure would require social media platforms to have a "duty of care" to prevent their products from harming children.
TikTok's latest legal hurdle comes as its future in the U.S. remains uncertain.
In April 2024, President Joe Biden signed a law requiring ByteDance to divest of TikTok or see the app banned in the U.S. The app was removed from Apple and Google app stores in January ahead of President Donald Trump's inauguration.
Since taking office, Trump has postponed enforcement of the ban and continued to push back deadlines.
In June, Trump granted ByteDance more time to sell off its U.S. TikTok operations, marking his third extension. The updated deadline is now set for September 17.
Trump also said in June that a group of "very wealthy people" is ready to buy TikTok and told reporters that he would be having discussions with China about a potential deal.
TikTok is now building a new version of its app for U.S. users, The Information reported. The standalone app is expected to operate on a separate algorithm and data system.
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