A federal district judge in California has granted preliminary approval for a $120 million class action settlement involving Aylo, the parent company of Pornhub, and plaintiffs in two lawsuits alleging the distribution of child sexual abuse material (CSAM) on its sites. The agreement includes a $120 million payment and new content moderation policies.

Preliminary Approval Granted

U.S. District Judge Wesley Hsu of the Central District of California issued a ruling on November 9, 2026, giving tentative approval for litigation to advance. This development represents a legal and financial milestone for Aylo, which inherited the litigation following MindGeek’s acquisition by Canadian private equity firm Ethical Capital Partners in 2023.

The settlement was originally submitted to the court on August 14, 2026. It aims to resolve a pair of class action lawsuits filed in federal courts in Alabama and California. These lawsuits accused Aylo, formerly known as MindGeek until it rebranded in 2023, of violating the federal Trafficking Victims Protection Reauthorization Act by financially benefiting from child sexual abuse material that third-party, unverified users posted on its websites.

The lawsuits, identified as Jane Doe v. MindGeek USA Inc. et al. and Doe #1 et al v. MG Freesites LTD et al., were filed in 2021 in California and Alabama, days apart. They alleged that MindGeek, the former parent company of Pornhub, knowingly allowed and profited from CSAM on its websites. The plaintiffs were women who stated they were victims of child sex trafficking and that videos of their abuse were publicly available on MindGeek websites.

The settlement motion stated that thousands of children whose sexual exploitation was recorded and uploaded by third parties were distributed by the defendants across the world, with their videos and images viewed over 684 million times on Pornhub.com and other defendant websites.

Class certification was granted for anyone who was under 18 when they appeared in a video or image viewable on any MindGeek website starting in February 2011. The settlement covers anyone who was younger than 18 years when they were depicted in sexually explicit content made viewable on the Aylo websites between February 12, 2011, and December 6, 2024.

Settlement Terms and Obligations

Under the proposed agreement, Aylo would contribute $120 million to a settlement fund intended to resolve claims brought in the two federal class-action proceedings. This $120 million sum is intended to provide monetary damages for survivors.

Beyond the financial compensation, the agreement establishes extensive content verification, moderation, and compliance obligations. Other stipulations include Aylo requiring the verification of a user's identity through government identification. Additionally, Aylo must verify that anyone depicted in photos and videos made available for monetization on the platforms is of legal age and consenting.

Aylo also agreed to extensive content moderation protocols to remove child sexual abuse material and to expand procedures to handle non-consensual content removal requests. These protocols are described as practices Aylo has already implemented as common practice.

The settlement remains subject to final judicial approval. Aylo has not admitted wrongdoing.

Broader Implications for Digital Platforms

The agreement's establishment of extensive content verification, moderation, and compliance obligations could carry broader implications for digital entertainment platforms and online businesses. The requirements for user identity verification through government identification and age verification for depicted individuals in monetized content represent significant operational changes.

The commitment to expanded content moderation protocols and procedures for handling non-consensual content removal requests also sets a precedent for how online platforms manage user-generated content, particularly in sensitive areas such as child sexual abuse material and non-consensual intimate imagery.

Final settlement approval has yet to be determined.

Key Facts

  • U.S. District Judge Wesley Hsu granted preliminary approval for a $120 million class action settlement on November 9, 2026.
  • The settlement involves Aylo, the corporate owner of Pornhub, and plaintiffs in two class action lawsuits.
  • The lawsuits, filed in federal courts in Alabama and California, alleged violations of the federal Trafficking Victims Protection Reauthorization Act.
  • The settlement covers individuals under 18 depicted in sexually explicit content on Aylo websites between February 12, 2011, and December 6, 2024.
  • Aylo agreed to a $120 million settlement fund, user identity verification, age verification for depicted individuals, and expanded content moderation protocols.
  • Aylo, formerly MindGeek, rebranded in 2023 and was acquired by Ethical Capital Partners in the same year.