TikTok and Alabama Attorney General Steve Marshall have reached a settlement resolving a lawsuit that accused the platform of harming young users through addictive design, the Alabama Reflector reported.
Under a consent decree issued by a Montgomery Circuit Court judge, TikTok will pay $116 million in restitution and establish a separate $183 million fund linked to whether other states join similar agreements.
What the settlement requires
The agreement requires TikTok to block teen access between midnight and 6 a.m. and limit daily use to two hours by default. The platform must also provide parents with tools to monitor and restrict their children’s accounts.
TikTok did not admit wrongdoing as part of the settlement.
Alabama lawsuit
Alabama sued TikTok in April 2025, alleging that the company’s algorithm exposed children to harmful content involving drugs, self-harm and eating disorders while encouraging prolonged use for advertising purposes, according to the report.
TikTok had sought to have the case dismissed, citing legal immunity for online platforms and arguments related to privacy law.
Marshall described the settlement as a “great day” for families, saying TikTok would now be required to give parents real oversight of their children’s app use.
TikTok said in a statement that the outcome “builds on our commitment and core objective to continually enhance our robust safety tools to protect teens.”