11:52 AM EDT, 06/30/2025 (MT Newswires) -- Snap (SNAP) is facing a lawsuit filed by the state of Utah for its alleged violations of the Utah Consumer Privacy Act, Fox 13 reported Monday.

The state government alleged that Snap's Snapchat platform is designed to addict children to the app and is used to facilitate sextortion and illegal drug transactions, according to the report. Utah also alleged that the company did not inform users about its data collection and processing practices, Fox 13 said.

Snap, Utah Governor Spencer Cox, and the Utah Department of Consumer Protection did not immediately respond to MT Newswires' requests for comments.

(Market Chatter news is derived from conversations with market professionals globally. This information is believed to be from reliable sources but may include rumor and speculation. Accuracy is not guaranteed.)

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