Xanga Pays Largest COPPA Fine Ever

WASHINGTON — Social networking site Xanga.com has settled its dispute with the Federal Trade Commission by agreeing to pay $1 million for allegedly violating the Child Online Privacy Protection Act (COPPA) and its implementing rule, which requires commercial websites to obtain consent from parents before collecting information from minors.

According to the FTC, which levied the civil penalty against site owners Marc Ginsburg and John Hiler as well as Xanga, the fine marks the largest ever under COPPA.

The New York-based company had been accused by the FTC of using and disclosing personal information obtained from children under the age of 13 without receiving parental consent.

The company also was accused of failing to notify parents of their information gathering practices.

"COPPA requires all commercial websites, including operators of social networking sites like Xanga, to give parents notice and obtain their consent before collecting personal information from kids they know are under 13," FTC Chairman Deborah Platt Majoras said. "A million-dollar penalty should make that obligation crystal clear."

The fine, which is part of the terms of an FTC consent order, does not constitute an admission of guilt. Under the terms of the order, Xanga must delete personal information collected and maintained by the site in violation of COPPA. The company also will be required to provide links to FTC consumer education materials for the next five years.

Hiler said Xanga has “instituted a stronger, more comprehensive safety and compliance program.”

The company has added additional staff to handle account deletion requests from parents, Hiler said, adding that Xanga also has instituted a flagging system for users to bring underage members to the attention of the site operators.

The settlement comes in the wake of numerous Congressional hearings investigating child safety online as well as subsequent calls from legislators to do more to protect children from sexual predators on the Internet.

Copyright © 2025 Adnet Media. All Rights Reserved. XBIZ is a trademark of Adnet Media.
Reproduction in whole or in part in any form or medium without express written permission is prohibited.

More News

Canada Exempts Online Adult Content From 'CanCon' Quotas

The Canadian Radio-television and Telecommunications Commission (CRTC) has updated its broadcasting regulatory policies, exempting streaming adult content from “made in Canada” requirements that apply to other online material.

Creator Law Firm 'OnlyFirm' Launches

Entertainment attorney Alex Lonstein has officially launched OnlyFirm.com for creators.

German Court Puts Pornhub, YouPorn 'Network Ban' on Hold

The Administrative Court of Düsseldorf has temporarily blocked the State Media Authority of North Rhine-Westphalia (LfM) from forcing telecom providers to cut off access to Aylo-owned adult sites Pornhub and YouPorn.

FSC: NC Law Invalidating Model Contracts Takes Effect December 1

The Free Speech Coalition (FSC) announced today that North Carolina's Prevent Exploitation of Women and Minors Act goes into effect on December 1.The announcement follows:

NYC Adult Businesses Seek SCOTUS Appeal in Zoning Case

Attorneys representing a group of New York City adult businesses are asking the U.S. Supreme Court to hear an appeal of a lower court’s decision allowing enforcement of a 2001 zoning law aimed at forcing adult retail stores out of most parts of New York City.

Teasy Agency Launches Marketing Firm

Teasy Agency has officially launched Teasy Marketing firm.

Ofcom Investigates More Sites in Wake of AV Traffic Shifts

U.K. media regulator Ofcom has launched investigations into 20 more adult sites as part of its age assurance enforcement program under the Online Safety Act.

MintStars Launches Debit Card for Creators

MintStars has launched its MintStars Creator Card, powered by Payy.

xHamster Settles Texas AV Lawsuit, Pays $120,000

Hammy Media, parent company of xHamster, has settled a lawsuit brought by the state of Texas over alleged noncompliance with the state’s age verification law, agreeing to pay a $120,000 penalty.

RevealMe Joins Pineapple Support as Partner-Level Sponsor

RevealMe has joined the ranks of over 70 adult businesses and organizations committing funds and resources to Pineapple Support.

Show More