Legal actions against Temu over data privacy

Legal actions have been initiated against the e-commerce platform Temu in the United States regarding data privacy and consumer protection.

In Missouri, the Attorney General filed a lawsuit alleging deceptive business practices and unauthorized surveillance. The complaint claims the mobile application is engineered to secretly collect personally identifiable information, including geographic locations, microphone access, and camera data. The state further alleged that the software contained features identified as “spyware and malware,” raising concerns about data exfiltration to the Chinese Communist Party.

Following these developments, Temu reached a $3 million settlement with the Texas Attorney General. While the company denied allegations concerning excessive data collection and lack of disclosure regarding Chinese access, the agreement mandates new security requirements. These include storing Texas users' data on U.S.-based servers controlled by American companies and restricting data access by Chinese entities, with exceptions only for necessary commercial transactions like shipping.

The settlement also requires Temu to undergo annual independent security and safety audits. These inspections must specifically target products such as clothing and children’s items to identify dangerous chemicals or materials. If hazardous items are discovered, Temu must remove the products, terminate the associated sellers, and issue full refunds to consumers. Failure to comply with the data security provisions could result in penalties of up to $8 million for each year a violation occurs.