Mobile App Maker to Pay $1.4M for Violating California’s Privacy Law

A popular mobile video game maker must pay $1.4 million for violations of California’s privacy act.

California Attorney General Rob Bonta settled with Jam City Inc. to resolve allegations that the mobile app gaming firm violated the California Consumer Privacy Act by failing to offer consumers methods to opt-out of the sale or sharing of their personal information across its popular gaming apps.

Jam City creates games for mobile platforms, including games based on franchises like Frozen, Harry Potter and Family Guy.

Under the settlement, Jam City must also provide in-app methods for consumers to opt-out of the sale or sharing of their data and must not sell or share the personal information of consumers at least 13 and less than 16 years old without their affirmative “opt-in” consent.

Part of Jam City’s revenue stream comes through disclosing personal information for advertising. Jam City and its ad-tech partners use information from consumers to display personalized ads within Jam City games.

A California Department of Justice’s investigation reportedly found Jam City did not offer CCPA compliant opt-outs in any of its 21 mobile apps. Investigators also say they found some Jam City games shared or sold the data of children between the age of 13 to 16 without the affirmative consent required by the CCPA. Under the CCPA, minors under the age of 16 are afforded special protections for the sale of their data.

This settlement represents the sixth enforcement action under the CCPA. Last month, Bonta secured a settlement with streaming service Sling TV to resolve allegations that the company violated the CCPA by failing to provide easy-to-use methods for consumers to stop the sale of their personal information and by failing to provide sufficient privacy protections for children.

Topics California