TCPA (Telephone Consumer Protection Act)

The Telephone Consumer Protection Act (TCPA) is a United States federal law enacted in 1991 and significantly updated over the years that governs commercial telephone and text message communications. For SMS marketers, the TCPA is the most important compliance requirement in the US. It restricts when and how businesses can send marketing texts, requires explicit prior written consent from recipients, and establishes significant financial penalties for violations.

Key TCPA Requirements for SMS Marketing

Under the TCPA, businesses must: obtain prior express written consent before sending marketing texts (consent obtained verbally or implicitly does not qualify for marketing messages), provide clear disclosure of what the customer is consenting to at the time of opt-in, honor opt-out requests immediately (replying STOP must immediately remove the customer from marketing sends), send messages only between 8am and 9pm in the recipient’s local time zone, and maintain records of consent in case of disputes or regulatory review.

Penalties for Non-Compliance

TCPA violations carry statutory damages of $500 per violation for unintentional violations and up to $1,500 per violation for knowing or willful violations. Because “per violation” means per message, a single non-compliant campaign sent to thousands of recipients can result in millions of dollars in potential liability. TCPA class action lawsuits are common — making compliance not just a legal obligation but a significant business risk management issue.

How to Stay Compliant

The most reliable way to maintain TCPA compliance is to use an SMS marketing platform that builds compliance into the product: automated opt-out processing, consent record keeping, time-zone-aware sending restrictions, and approved opt-in language templates. Working with a compliant platform significantly reduces your risk, though the ultimate responsibility for obtaining proper consent before sending remains with your business.