News Summary
Texas has enacted Senate Bill 140, introducing significant changes to telemarketing regulations that will affect how businesses engage with consumers. Starting September 2025, all telemarketers must register and comply with new rules, including fees and quarterly reporting. Exemptions apply to certain organizations, but noncompliance can lead to harsh penalties. As businesses prepare for this shift, understanding the regulations is crucial to avoid costly mistakes.
Big Changes Ahead for Telemarketers in Texas!
Howdy, Texas! If you’re in the telemarketing game, or know someone who is, there are some important changes coming down the pipeline that you ought to be aware of. Texas has just updated its telemarketing laws with the recent enactment of Senate Bill 140 (SB 140), a move that could shake up how businesses reach out to consumers. Get ready, because these changes are set to take effect on September 1, 2025.
The Lowdown on Telemarketing Regulations
Now, if you’ve been living under a rock, let’s catch you up! There’s a federal law called the Telephone Consumer Protection Act (TCPA) that’s been around since 1991, aimed at keeping those pesky telemarketing calls at bay. Since 2009, Texas has had its own version of this law—sometimes called the Texas mini-TCPA. Well, this mini version just got a hefty makeover!
SB 140 significantly amends the mini-TCPA, broadening its scope. Previously focused mainly on phone calls, the new legislation expands its registration requirements to cover text message solicitations as well. This means businesses looking to send out those texts must now play by these new rules.
Registration Requirements: What’s New?
If you’re a business operating in Texas and engaged in telemarketing, buckle up. Under SB 140, you’ll need to register, and that includes a $200 fee per business location plus a $10,000 security deposit to cover potential penalties. That’s definitely a bigger financial commitment than before!
Don’t forget, registering isn’t a one-and-done deal. You’ll also have to submit a supplemental addendum every quarter or whenever there are any material changes to your operations. Keep an eye on those deadlines, folks, because failing to comply could cost you big time—with civil penalties reaching up to $5,000 per violation.
Who is Exempt?
Now, before you panic, not every business will have to register. Some organizations, like educational institutions and nonprofits, plus those primarily conducting retail sales, are exempt from these registration requirements. However, it’s crucial for businesses to assess their eligibility for these exemptions on a case-by-case basis!
Stiff Penalties for Noncompliance
Understanding these regulations is vital. With the introduction of a new private right of action under the Texas Deceptive Trade Practices Act (DTPA), violations of the mini-TCPA can lead to statutory damages ranging from $500 to $1,500 per infringement. This change increases the stakes, especially for companies that may find themselves at the receiving end of a class-action lawsuit. They could face serious financial liability due to noncompliance!
Compliance is Key!
With stricter enforcement of these regulations on the horizon, businesses should prioritize reviewing their marketing practices against the new rules. Failure to comply doesn’t just risk civil penalties; it can lead to administrative penalties up to $1,000 per violation. That’s not pocket change!
As the landscape for telemarketing in Texas evolves, the importance of compliance has never been more critical. It’s advisable for businesses to seek legal counsel to navigate these new waters effectively. When it comes to telemarketing, being prepared is better than being sorry!
What’s Next?
As we gear up for September 2025, it’s essential for businesses to familiarize themselves with these changes and get their ducks in a row. The last thing you want is to be caught off guard when the new regulations kick in! So, let’s make sure we stay informed and compliant.
That’s all for now, Texas—keep your phones charged and your texts in check!
Deeper Dive: News & Info About This Topic
- JD Supra: Texas Mini-TCPA Now Covers Marketing Texts
- National Law Review: Texas Mini-TCPA Gets Makeover
- Kelley Drye: Texas Mini-TCPA Law FAQs for Marketing Texts
- Perkins Coie: Texas Broadens State’s TCPA Rules
- Wikipedia: Telephone Consumer Protection Act