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      Texas SB140: What You Need to Know About SMS Compliance

      On Sept 1, 2025, Texas Senate Bill 140 (SB140) takes effect, classifying SMS and MMS marketing as “telephone solicitations.”

      Effective Date: September 1, 2025
      Applies To: Any business sending SMS/MMS marketing messages to Texas residents

      Table of Contents

      What Is Texas SB140?

      Texas Senate Bill 140 (SB140) is a new law that classifies SMS and MMS marketing messages as “telephone solicitations.” If your brand sends text messages to consumers in Texas, you may now fall under state telemarketing regulations—even if your messages are consent-based and opt-in.

      Under this law, many businesses must:

      • Register with the Texas Secretary of State
      • Post a $10,000 security bond (or qualifying financial alternative)

       

      Who Needs to Register?

      You must register if you send SMS or MMS messages to Texas recipients who are not considered “customers.”

      • Customer = Someone who has completed a purchase or service transaction with your business.

      • Prospect = Someone who has opted in but never purchased.

      Exemptions may apply if:

      • You only text current or former customers, and

      • Your business has operated under the same name for at least two years

      Important: Simply having opt-in consent does not automatically qualify someone as a customer. A subscriber who signed up but never purchased is still considered a “prospect” under this law.

      Does Location of Your Business Matter?

      • No — the law applies even if your business is not based in Texas.

      • If you have even one Texas prospect in your database, the law applies.

      • Texas defines “telephone solicitation” to include interstate messages to Texas numbers.

      Why It’s Hard to Confirm Residency

      A Texas area code or ZIP code does not guarantee current residency — and someone without Texas contact info may still live there. If you don’t maintain accurate, up-to-date residency data for every subscriber, you cannot be certain you have zero Texas prospects.

      If You Are Unsure

      Given the low cost and simplicity of a surety bond, most brands choose to comply rather than risk penalties.


      Penalties under Texas telemarketing law can be up to $5,000 per violation.

       

       

      What TapOnIt Already Handles for You

      TapOnIt manages the following compliance operations on your behalf:

      • Storing and timestamping opt-in consent records
      • Honoring all opt-out requests in real time
      • Logging and retaining a full history of SMS activity

      Your day-to-day SMS operations remain compliant with federal and industry standards. The new SB140 requirements apply only to state-level registration and bonding, which must be handled by you directly.

       

      What You Need to Do

      1. Assess Your List

      SB140 applies if you send promotional texts to any non-customer who could reasonably be a Texas resident.

      Steps to check:

      1. Filter your SMS list for Texas area codes and/or ZIP codes (if available).

      2. Cross-check with your purchase history to identify prospects (no completed order/service).

      3. Consider your audience reach — if you’ve ever had Texas customers, visitors, or website signups, it’s likely some prospects live in Texas now.

      ✅ Recommendation: If you can’t confirm with certainty that you have zero Texas prospects, register and bond.

      2. Register with the State of Texas

      Validity: 1 year

      3. Post the Required $10,000 Bond

      You must submit one of the following:

      • A $10,000 surety bond
      • A letter of credit
      • A certificate of deposit

      Example provider: Surety Bonds

      4. Maintain Your Records

      You should keep documentation related to:

      • Registration filing and bond
      • Your method for identifying “customers”
      • Any list segmentation excluding non-customers in Texas
      • Consent and opt-out handling (TapOnIt already manages this for you)

       

      Additional Reading and Legal Resources

       

      Questions?

      If you need help evaluating whether your Texas contacts qualify as customers under this law, or want help segmenting your list, our team is here to support you at support@taponit.com

       

      Disclaimer

      TapOnIt provides this information for general educational purposes only and does not provide legal advice. While we share our understanding of compliance requirements and best practices, we are not attorneys and cannot guarantee that this guidance will ensure full compliance with applicable laws. Regulations can vary and change over time.

      We strongly recommend that you consult with qualified legal counsel to review your specific circumstances and obligations under Texas SB140 and any other relevant federal, state, or local laws.