What Every Business Marketing to Texas Needs to Know as of September 1, 2025
If your business markets to consumers in Texas—by phone, text, or multimedia message—big changes are coming. On September 1, 2025, Texas Senate Bill 140 (SB 140) took effect. This new law updates telemarketing rules and expands compliance requirements for any company contacting Texas residents.
At first glance, SB 140 looks like a routine update. In reality, it’s one of the most significant consumer protection laws in recent years. It adds new definitions, stronger penalties, and broader obligations. Most importantly, it clarifies that consumer consent alone does not exempt a business from telemarketing registration.
Understanding Texas SB 140
SB 140 amends several sections of the Texas Business & Commerce Code to reflect how modern communication works. The law expands the meaning of “telephone solicitation” to include text messages, MMS, and multimedia transmissions.
That means sending a marketing text or automated message to a Texas number can now qualify as a telemarketing activity. If you do so, you may need to register with the Texas Secretary of State, file a bond, and follow disclosure rules.
Even if your business operates outside of Texas, you can still be subject to the law if you contact Texas residents for sales or promotions.
Consent Isn’t Enough
Many marketers assume that having a customer’s consent means full compliance. Under SB 140, that is no longer true.
As compliance experts at PossibleNOW explain, consent is required, but it doesn’t replace registration. The law regulates the act of solicitation itself. Whether a consumer has opted in or not, you must still meet registration and bonding requirements before contacting them.
Failing to register could result in penalties, even if every message was sent to an opted-in recipient.
The New Private Right of Action
The biggest shift in SB 140 is the new private right of action. Texas consumers can now sue businesses directly under the Deceptive Trade Practices Act (DTPA) for telemarketing violations.
According to Blank Rome LLP, this opens the door to widespread litigation. Each unlawful call or text can be treated as a separate violation. Penalties can reach $5,000 per instance, with possible treble damages for intentional actions.
There is no cap on damages. For high-volume marketers, a few thousand texts can quickly become a costly lawsuit.
These changes make Texas one of the most aggressive states for telemarketing enforcement, similar to how the federal Telephone Consumer Protection Act (TCPA) works—but broader.
What Businesses Need to Do
If your business markets to Texas consumers, review your practices now.
Start by confirming whether your company must register as a telemarketer in Texas. Registration usually requires a short application, a $200 fee per location, and a $10,000 surety bond.
Next, review your opt-in and opt-out procedures. Every consumer must be able to opt out easily, and those requests must be honored right away. Keep clear records of consent, including time and method.
Finally, make sure your vendors and marketing partners understand these rules. If they send messages on your behalf, your company can still be held liable. Update contracts to include compliance clauses and documentation requirements.
Limited Exemptions
SB 140 does include a few narrow exemptions. For example, nonprofits, publicly traded companies, or businesses contacting existing customers under the same trade name may be excluded.
However, these exceptions are limited and fact-specific. Even if you believe your business qualifies, verify with legal counsel and document the reasoning. Assuming an exemption without proof could lead to risk later.
A National Trend
Texas is following a growing national trend. States such as Florida, Oklahoma, and Maryland have already passed similar “mini-TCPA” laws. Each one adds new rules for registration, consent, and enforcement.
Texas SB 140 stands out because it pairs broad coverage with strong consumer remedies. That combination makes it one of the toughest state-level marketing laws in the country.
By adapting early, businesses not only reduce risk in Texas but also prepare for similar legislation nationwide.
Conclusion
SB 140 is more than a compliance update—it’s a turning point for marketers. The message is clear: registration, documentation, and diligence now matter as much as consent.
Businesses that act now can continue to reach Texas consumers while avoiding costly lawsuits and fines. A proactive compliance strategy will be your best defense and your strongest competitive advantage.
TLD is here to discuss steps to maintain compliance when reaching out to your Texas clients.
