Compliance Stuff

  As we   reported   earlier this summer, a bill (S.B. 140) was recently enacted in Texas that amends the state’s telemarketing law ( TX BUS & COM T.10, Chap. 301-306 ) to 1) expand the definition of ​“telephone solicitation” to include text messages, 2) create a broad private right of action through a hook to the state’s   Deceptive Trade Practices Act   (DTPA), and 3) explicitly provide for successive recoveries by or on behalf of the same individual. With the effective date of  S.B. 140  fast approaching, many text marketers may be wondering what these changes mean and how to implement them. Here, we address some of the most common questions and outline key takeaways for businesses. Click on any question to jump directly to the answer. How does S.B. 140 change the scope of Texas’s telemarketing law? What does this mean for companies engaged in text marketing? I am a text marketer – do I have to register with the Texas Secretary of State? Does ...

Effective September 1, 2025, Texas Senate Bill 140 (SB 140) materially expands the scope of the T exas Business and Commerce Code §§ 301-305 (Mini-TCPA) governing both telephone and SMS marketing. The statute requires registration and posting of a bond, lowers procedural barriers to private litigation, and increases both private and governmental enforcement exposure. The principal changes and recommended compliance measures are outlined below. A violation of any provision of the Mini-TCPA is now expressly deemed an “unfair and deceptive practice” under Texas law, exposing violators to statutory damages of not less than $500 and not more than $1,500 per unlawful call or text. In addition, the Texas Attorney General is authorized to seek civil penalties of up to $5,000 per violation. These monetary enhancements, combined with the removal of the reporting prerequisite, are expected to generate increased class action activity in Texas state and federal courts. A seller that makes telephon...