Businesses need to ensure compliance with the Texas Mini-TCPA’s registration requirement—for voice calls and text messages. In addition, the Texas Mini-TCPA increases the risk of litigation and potential damages for violations.
Texas is one of several states that have adopted their own version of the TCPA. The Texas Mini-TCPA covers much of the same ground as the federal TCPA, prohibiting sellers from contacting consumers on the federal or state do-not-call lists and prohibiting telemarketing to mobile devices without consent.
But unlike the federal TCPA, the Texas Mini-TCPA also imposes registration requirements on businesses. Before they can make a telephone solicitation, including text messages, from Texas or to a Texas person, companies must first register with the Texas Secretary of State, pay a $200 fee, post a $10,000 security bond, and submit quarterly reports.
The real risk, however, comes from how the law expands private enforcement. Consumers can sue for violations of the Texas Do-Not-Call list or for receiving autodialed texts without consent. If they win, they don’t just collect statutory damages. They can also recover attorneys’ fees, mental anguish damages, and, if the violation is willful or egregious, up to three times their actual losses. This creates a strong financial incentive for plaintiffs’ lawyers who focus on serial claims.
All businesses engaged in, or planning to engage in, telephone or text/SMS marketing involving Texas consumers do well to do the following:
Review consent efforts
Ensure consent is collected in a clear and affirmative manner and maintain documentation of consent and opt-outs.
Regularly review do not call lists and quiet hours compliance
The state’s do not call list is updated January 1, April 1, July 1, and October 1 of each year. Businesses may not call a number that has been on the list for sixty (60) days or more. Regular review of this list is critical. Additionally, quiet hours restrictions remain and adherence to the allowable hours will help avoid opening the door to additional violations and increased penalties.
Partner relationships
Businesses do well to review the requirements they impose on partners regarding collecting consumer consent, processing opt-outs and respecting quiet hours. It would be wise to regularly audit these customers to ensure compliance and offer guidance regarding best practices. In addition, consider reviewing agreements to ensure limits on liability and clear terms requiring compliance with applicable law.