Texas SMS Safeguard – One-Toggle Compliance for SB 140

Understanding the Texas SMS Safeguard

This guide explains the Texas SMS Safeguard, a feature designed to help users of this CRM platform comply with Texas SB 140. This law expands telemarketing regulations to include text messages. The safeguard automatically blocks automated marketing texts to or from Texas phone numbers. Important: This information is for educational purposes and is not legal advice. The CRM platform strongly advises consulting with qualified legal counsel to ensure your compliance with all applicable laws.

What is the Texas Mini-TCPA Law (SB 140)?

Texas has amended its telemarketing laws to now apply to text messages, not just voice calls. This means that if you send marketing text messages to Texas residents, or if you are located in Texas and send marketing texts, you may need to register your business with the Texas Secretary of State. The law also makes it easier for individuals to file lawsuits for violations. These changes become effective on September 1, 2025.

What is the Texas SMS Safeguard?

The Texas SMS Safeguard is a single toggle switch located within your CRM's SMS Compliance settings. When enabled, it automatically prevents marketing or promotional SMS and MMS messages sent via automations or bulk tools from being delivered if the recipient's phone number is based in Texas or if the phone number you are sending from has a Texas area code. This feature is designed to help you comply with the new law.

Who Needs to Comply with This Law?

The law applies to businesses and telemarketers who send marketing text messages:

• To residents of Texas, regardless of your business's location.
• From a location within Texas, regardless of your recipients' locations.

For example, a business in Florida sending texts to Texas consumers, or a Texas-based business sending texts to any location, may be subject to these regulations.

Key Benefits of the Texas SMS Safeguard

• Simple Activation: One-click protection without needing to edit individual workflows.
• Comprehensive Coverage: Applies to Workflows and Bulk Messaging across all sub-accounts.
• Clear Communication: If a message is blocked, the system will display an error message indicating it was blocked by the Texas SMS Safeguard.
• Risk Reduction: Helps minimize the risk of costly violations, which can be up to $5,000 per text.
• Time-Saving: Eliminates the need for manual list segmentation to exclude Texas numbers.

Are There Any Exemptions?

Yes, but they are limited. Potential exemptions may include:

• Publicly traded companies and their subsidiaries.
• Financial institutions.
• Educational institutions.
• Nonprofit organizations under section 501(c)(3).
• Retail businesses with a physical location that has operated under the same name for at least two years.
• Businesses contacting their current or former customers, provided they have operated under the same name for at least two years.

Note: Exemptions depend on specific circumstances, and the responsibility to prove eligibility is yours. You should consult a legal professional to determine if you qualify.

Consequences of Non-Compliance

If you are not exempt and do not comply, you may face:

• Civil penalties of up to $5,000 per violation.
• Increased damages under the Texas Deceptive Trade Practices Act.
• Attorney fees and court costs.
• A higher risk of lawsuits from private individuals.

Your Responsibilities as a CRM User

As the user of the CRM platform, you are considered the seller or telemarketer under the law. The platform is a tool provider. You are responsible for:

• Determining who receives messages.
• Creating the message content.
• Managing the timing of sends.
• Ensuring you have proper consent from contacts.
• Determining if you qualify for an exemption or need to register with the state.

How to Enable the Texas SMS Safeguard

To activate this feature:

1. Navigate to the SMS Compliance settings within your CRM.
2. Locate the toggle for the Texas SMS Safeguard.
3. Switch the toggle to the 'On' position.

Once enabled, the system will automatically block applicable messages. No further configuration is required.