Note: This document is for informational purposes only and is not intended to be, and should not be relied upon as, legal advice. Telnyx helps educate and keep our customers informed of industry changes, but you should always consult your legal counsel and other advisors for advice and guidance with respect to any laws and regulations relating to your business and its compliance obligations.
Texas Senate Bill 140 (“SB 140”), an amendment to the state’s “Mini-TCPA,” expands and revises the telemarketing framework under the Texas Business & Commerce Code. To comply with these new rules, companies that are based in Texas or are marketing to Texas residents, which now includes sending marketing messages using text, are required to register as a telemarketer by September 1, 2025.
What Changes Can You Expect?
1. Text Message Solicitations Are Now Explicitly Regulated
The law now treats promotional or sales-related text messages the same as telemarketing calls.
A “telephone solicitation” includes any voice or “other transmission, including a transmission of a text or graphic message or of an image, initiated by a seller or salesperson to induce a person to purchase, rent, claim, or receive an item.”
2. Quiet Hours Extended to Texting
Restrictions on when solicitations can be made now apply equally to text messages:
Monday–Saturday: Not before 9 a.m. or after 9 p.m. (recipient’s local time)
Sunday: Only between 12 p.m. and 9 p.m.
Some exceptions (found within Sec. 301.051) may apply, such as communications sent:
In direct response to a consumer’s explicit request
To an individual with whom the sender has an existing business relationship
3. Registration Requirements
Businesses sending marketing texts may need to register with the Texas Secretary of State if they:
Are based in Texas, or
Send solicitations to individuals (referred to as “purchasers” in the law) located in Texas, unless an exemption applies
A “purchaser” is an individual who “is solicited to become or becomes obligated for the purchase or rental of an item” or “is offered an opportunity to claim or receive an item.”
Registration requires that:
Covered companies file a registration statement with the Texas Secretary of State.
Covered companies pay a $200 filing fee and a $10,000.00 security deposit for the benefit of any person who is injured by the seller's breach of the law.
The Texas Secretary of State’s website provides further information on how to register.
Failure to properly register includes potential civil penalties of up to $5,000 per violation (enforced by the Attorney General).
4. Exemptions
The law also includes exemptions for multiple types of businesses, including but not limited to:
Companies soliciting business from a former or current customer
Securities brokers/dealers (state or SEC qualified/exempt).
Publicly traded corporations (and subsidiaries/agents).
Licensed insurance professionals (when selling insurance).
Banks and other supervised financial institutions (and affiliates).
Utilities regulated by the Public Utility Commission (PUC) — except for use of autodialers.
Companies selling subscriptions to newspapers, magazines, or cable TV.
Schools, colleges, and §501(c)(3) nonprofits.
Persons soliciting the sale of food.
More exemptions are listed with Sec. 302.051 of the law.
5. Expanded Right to Sue
SB140 creates a new private right of action for telemarketing violations, including ignoring call time restrictions, failing to register, not honoring opt-outs, and using autodialers/robocall systems. Consumers can seek both economic and mental anguish damages, raising litigation risk.
Each violation is actionable with no cap, even if a consumer has already recovered for similar violations. This allows repeated lawsuits and exposes businesses to significant ongoing statutory damages.
If your organization markets to Texas residents by phone or text or is based within Texas, review your outreach practices to ensure compliance. Carefully evaluate whether your business qualifies for exemptions or must register under SB 140. For additional guidance, you may reach out to regulatory@telnyx.com.