HomeEUROPEGERMANYDUTCH FOUNDATION INITIATES CLASS ACTION LAWSUITS AGAINST TIKTOK AND X IN GERMANY

DUTCH FOUNDATION INITIATES CLASS ACTION LAWSUITS AGAINST TIKTOK AND X IN GERMANY

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Social media platforms TikTok and X (formerly known as Twitter) face various class action lawsuits in Germany. The Dutch Foundation for Market Information Research (Stichting Onderzoek Marktinformatie, SOMI) filed the lawsuits earlier this month, represented by the law firm Spirit Legal.

The legal actions contend that both technology platforms have violated German and EU law. The lawsuits demand an immediate halt to the unlawful activities and seek damages of several billion euros.

TikTok is accused of intentionally manipulating its younger users and misappropriating sensitive data to enhance its recommendation algorithms. The platform allegedly employs addictive design techniques that leverage behavioural psychology to maximize user engagement. The personalization of its recommendation systems, which relies on highly personal data, poses a risk to the mental well-being of children and adolescents.

The Foundation argues that under the new provisions of the AI Act, which took effect in early February, TikTok’s system design is “manipulative, deceptive, and exploitative.” Additionally, TikTok is accused of unlawfully monitoring users who accessed its in-app browser.

According to SOMI, X has consistently neglected to report significant data breaches to the appropriate authorities and has failed to notify affected users. Moreover, X processes sensitive user data to enhance its recommendation algorithms without a legal foundation.

Both TikTok and X allegedly contribute to the dissemination of disinformation, deepfakes, and misleading information, especially during election cycles, where they have the potential to sway public opinion.

Political content is frequently covertly funded, often originating from foreign sources, and is shared without appropriate labeling. In the view of the Foundation and its lawyers, such actions represent significant breaches of German and EU regulations, notably the Digital Services Act (DSA), the General Data Protection Regulation (GDPR), and the AI Act.

The lawsuits aim to end these unlawful activities and hold TikTok and X financially liable. In TikTok’s case, compensation claims range from 500 to 2,000 euros per user, with an estimated 20 million users in Germany. In the case against X, the compensation sought is between 750 and 1,000 euros per user, with around 11 million users in Germany.

Affected users will soon be able to register at no cost with the Federal Office of Justice in Bonn through the class action register. Furthermore, users can also register directly via SOMI’s platforms and the SOMI app.

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