Executive Summary
Several states have recently passed laws to include new communications technologies (such as text messages) in their existing laws addressing advertising, sales and marketing communications. Some of these state statutes create requirements, legal rights and penalties that go beyond the provisions of the federal Telephone Consumer Protection Act (TCPA) and Telemarketing Sales Rule (TSR).
Texas Bill SB 140, signed on June 20, 2025 by Governor Greg Abbott and effective September 1, 2025, is no exception. SB 140 will expand the Texas Business & Commerce Code's ("Code") regulation of a "telephone solicitation" (currently found in Chapter 302 of the Code) to include text messages and other sales solicitation methods. Significantly, SB 140 will also expand the rights of Texas consumers to bring claims under the Code.
Businesses that market to Texas consumers must understand the reach of SB 140 and take steps to ensure compliance with it.
What SB 140 Provides
Expands the Definition of Telephone Solicitation
Chapter 302 (Regulation of Telephone Solicitation) requires the registration of sellers making telephone solicitations in Texas and that sellers make certain disclosures in connection with a telephone solicitation.
SB 140 adds to Chapter 302 the definition of "telephone call" currently found in Chapter 304, which includes text and image messages, calls made by an automated telephone dialing system (autodialer), and a transmission to a facsimile recording device.
As a result, all such calls (including texts and calls made using an autodialer) made for the purpose of telemarketing are now "telephone solicitations" subject to the registration and disclosure requirements of Chapter 302.
Expands Consumer Rights
Chapter 304 ("Telemarketing") prohibits telemarketing calls to numbers on the Texas Do-Not-Call List. Chapter 305 ("Telephonic Communications Made for the Purposes of Solicitation") prohibits sales calls when 1) the caller knows or should have known that the called number is a mobile number for which the called person will be charged for the call; and 2) the called person has not provided consent. Current Chapters 304 and 305 offer limited private rights of action for consumers.
SB 140 makes a violation of Chapters 304 and 305 a "false, misleading, or deceptive act" under the Texas Deceptive Trade Practices and Consumer Protection Act ("DTPA"), and creates a private right of action under the DTPA.
In addition, SB 140 adds the following language to Chapters 302, 304, and 305: "The fact that a claimant has recovered under a private action arising from a violation of this chapter more than once [may not limit] recovery in a future legal proceeding in any manner." This language is designed to afford consumers more flexibility in making claims.
Takeaways for Businesses
Any business marketing to Texas consumers must review its compliance programs, including do-not-call list processes, registrations, opt-out mechanisms, and communications campaigns, in order to navigate the requirements of SB 140 and the Texas Business & Commerce Code.
The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.
