Florida Attorney General (AG) James Uthmeier sued Netflix Inc., alleging the streaming giant engaged in deceptive data collection practices involving minors.
Uthmeier filed the complaint with the Seventh Judicial Circuit Court of Florida in St. Johns County on Wednesday, Sept. 9. It claims Netflix collected and sold sensitive personal data from children without obtaining the prior, verifiable consent of their parents.
According to the complaint, Netflix sold personal information of users it knew to be under the age of 18 to third-party advertising and data-brokerage partners. This constitutes a violation of the Sunshine State’s Deceptive and Unfair Trade Practices Act and its Digital Bill of Rights. [1] Uthmeier’s office stated that Netflix failed to comply with Florida’s requirement that platforms obtain explicit permission before monetizing the data of known minors, prioritizing revenue over user safety and legal compliance.
The state alleges that the platform’s business model contradicts its public representations that its children’s profiles are advertising-free and safe environments for young viewers. The complaint seeks civil penalties and an injunction against the company, which is based in Los Gatos, California. [1]
Executives’ Past Statements Cited as Evidence of Deceptive Practices
The lawsuit directly references public comments made by Netflix executives to establish intent and awareness of the alleged deceptive practices. State attorneys cite a Jan. 22, 2020, earnings call in which then-CEO Reed Hastings told investors that the company’s model was not based on using customer data.
Hastings also stated Netflix was not interested in tracking customer locations or other activities, describing the platform as “the safer spy” where users could explore without “the controversy around exploiting users with advertising.” [1] The complaint argues these statements to investors and the public are contradicted by the company’s alleged actions of harvesting and selling user data. [1]
Furthermore, the complaint contrasts Netflix’s public stance with that of other tech companies, claiming that Netflix deliberately framed itself as distinct from Google, Facebook and Amazon’s advertising models, which relied on consumer data collection and targeting.
Hastings was quoted as saying the company was “not controversial that way.” [1] This contrast forms the basis of the state’s argument that Netflix engaged in unfair and deceptive practices by failing to disclose the monetization of children’s data to parents who chose the platform specifically for its safer, ad-free reputation. [1]
Data Collection and the “Under-12” Profile
Florida’s complaint points to Netflix’s efforts to expand into the advertising business in 2022 as the backdrop for the alleged violations. By introducing a lower-cost, ad-supported tier, the company created a financial incentive to collect and analyze user data, including data from children, to improve its ad-targeting capabilities. [1]
The state alleges that the collection occurred through various mechanisms, including the use of tracking pixels and analytics software embedded in the platform, which sent details about a user’s viewing habits and interactions to third parties. [1] Despite the company’s offering of an “under-12 profile option” for children, which promotes a non-advertising space, the lawsuit claims the data of children using this feature was still collected and sold. [1]
The complaint also highlights design elements like autoplay, which it alleges are engineered to maximize engagement and data generation from minors. An attorney listed for Netflix did not respond to a request for comment at the time of reporting. [1]
Florida is the second state to sue the streaming giant on such grounds. The state of Texas filed a similar suit in May alleging data collection without users’ knowledge or consent. [1]
Legal Pursuit and Request for Data Purge
The lawsuit seeks not only monetary penalties but also court-ordered changes to Netflix’s business practices. The state requests that the court require Netflix to purge any deceptively collected data belonging to Florida residents. [1]
This aspect of the suit goes beyond financial relief, targeting the systemic handling of user information and demanding a clean slate for residents’ privacy. The outcome of the case could influence how streaming platforms handle data collection on minors across the industry, legal observers said, though the court has yet to rule on the merits of the state’s claims. [1]
The action aligns with a broader trend of heightened scrutiny from state regulators regarding tech companies and children’s privacy, a subject that has gained prominence as state laws like Florida’s Digital Bill of Rights take effect. As the case unfolds, it will test the boundaries between consumer expectation and data-driven business models, and it remains to be seen how the courts will weigh Netflix’s contractual agreements against state-level privacy statutes. [1]
Conclusion
The lawsuit against Netflix represents a significant legal challenge to the streaming industry’s data practices, asserting that the company violated Florida law by failing to protect children’s personal information. The state’s arguments draw a direct line between the company’s past assurances that it was a “safer” platform and its alleged sale of children’s data. [1]
The case serves as a signal to other technology and media companies operating in Florida that adherence to state privacy regulations is an active enforcement priority. The court’s eventual decision could establish a precedent for who bears responsibility for verifying consent in the digital advertising ecosystem. As for Netflix, the resolution of these allegations will ultimately determine whether its collection practices are deemed a legal liability or a permissible part of its business model. [1]
References
- Jill McLaughlin. “Florida’s Attorney General Sues Netflix for Allegedly Harvesting, Selling Children’s Data.” The Epoch Times.
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