Basic Search  |  Summaries  |  Advanced Search

Violation Tracker Individual Record

Company: NGL Labs, LLC
Penalty: $5,000,000
Year: 2024
Date: July 9, 2024
Offense Group: consumer-protection-related offenses
Primary Offense: consumer protection violation
Violation Description: The Federal Trade Commission and the Los Angeles District Attorney's Office took action against NGL Labs, LLC and two of its co-founders violations related to their anonymous messaging app, including improperly marketing the service to children and teens. The defendants agreed to pay $5 million to settle the lawsuit, and will be banned from offering their app to anyone under the age of 18. The complaint alleged that NGL not only actively marketed their service to children and teens, but that they also falsely claimed that its AI content moderation program filtered out cyberbullying and other harmful messages. In addition, the complaint alleged that the defendants sent fake messages that appeared to come from real people and tricked users into signing up for their paid subscription by falsely promising that doing so would reveal the identity of the senders of messages.
Level of Government: federal
Action Type: agency action
Agency: Federal Trade Commission
Civil or Criminal Case: civil
Source of Data: (click here)
Archived Source: (click here)
Current parent company note: Parent-subsidiary relationship is current as of the most recent revision listed in the Update Log.