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On September 1, 2025, new Texas legislation (SB 140) went into effect, expanding the reach of the Texas Telephone Solicitation Act (TTSA) to include marketing messages sent to Texas consumers by text (SMS and MMS). Importantly, this expansion does not apply to informational or transactional texts such as delivery updates, appointment reminders, or fraud alerts. It also does not revise the existing exemptions under the TTSA.
So what does this mean for businesses relying on SMS marketing in Texas? In practice, senders of these messages are now regulated much like those who make telemarketing calls.
New Compliance Obligations
Businesses that send marketing texts to consumers in Texas, and do not qualify for an exemption, are required to comply with the following obligations that, previously, only applied to telemarketers, including:
- Registration
Businesses must now register with the Texas Secretary of State before sending marketing text messages. Registration is valid for one year and must be renewed annually. - Surety Bond
A $10,000 surety bond must be filed with the Secretary of State as part of registration. - Disclosures
Solicitations must clearly state the seller's identity and the purpose of the communication. - Recordkeeping
Businesses must maintain records of text messages sent (scripts, promotional materials, etc.) for at least 12 months.
These new obligations apply alongside existing text messaging laws and requirements in Texas and under federal law, such as the Telephone Consumer Protection Act (TCPA).
Similarly, SB 140 expands enforcement options and rights of action under the Texas Deceptive Trade Practices law, in addition to the existing penalties for non-compliance under the TTSA.
Exemptions Remain Unchanged
Although SB 140 broadened the scope of the TTSA, it did not alter the existing statutory exemptions. Businesses that fall into the following categories remain exempt:
- Publications – Sales solicited by a newspaper, magazine, or other publication of general circulation.
- Publicly Traded Corporations – A corporation registered with the SEC or the Texas State Securities Board, including subsidiaries and agents.
- Licensed Financial Professionals – Securities brokers, investment advisors, and other professionals licensed and regulated by state or federal agencies.
- Licensed Insurance Agents – When acting within the scope of their license.
- Licensed Real Estate Professionals – When acting within the scope of their license.
- Charitable Organizations – 501(c)(3) nonprofits soliciting contributions for charitable purposes.
- Political Organizations – Soliciting political contributions.
- Isolated Transactions – Sales that are not part of a pattern of repeated and successive transactions.
- Nonprofit & Educational Services – Sales of services to nonprofit organizations or educational institutions.
- Established Customer Relationships – Soliciting current or former customers, if the business has operated under the same name for at least two years.
- Established Retailers – Businesses that have operated a retail establishment continuously for at least two years, where most sales occur in person at that location.
Why the Amended TTSA Matters for Your Business
SB 140 represents a significant shift in compliance obligations for any company that relies on SMS marketing to reach new Texas customers. Key implications include:
- Marketing texts are now regulated like telemarketing calls.
- Exemptions remain unchanged, but must be evaluated closely.
- Non-exempt organizations now face new requirements, including annual registration, a $10,000 surety bond, disclosures and recordkeeping.
Bottom Line
Texas's SB 140 modernizes its telemarketing rules by explicitly expanding them to text marketing. If text message marketing is part of your strategy in Texas, you may want to confirm whether you're exempt from the updated TTSA, or ensure compliance.
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.
