If you’ve been anywhere near the marketing world lately, you’ve probably heard the panic:
“SMS marketing is dead.”
“Texas just made texting illegal.”
“$5,000 fines are coming for every message you send.”
Let’s cut through the noise—with actual legal grounding.
Texas SB 140, effective September 1, 2025, makes major changes to how SMS (and MMS) messaging is regulated:
Expanded definition of "telephone solicitation"
“Telephone solicitation” now includes a “call or other transmission, including a transmission of a text or graphic message or of an image” that is intended to induce a person to “purchase, rent, claim, or receive an item.”【capitol.texas.gov†source】Registration requirement
Unless exempt, businesses must file Form 3401 with the Secretary of State, pay a $200 annual fee, and post a $10,000 bond to legally send marketing texts to Texas residents【listrak.com†source】【michaelbest.com†source】.Quiet hours apply
Businesses cannot send marketing texts before 9 a.m. or after 9 p.m. Monday–Saturday, or before noon on Sundays【attentive.com†source】.Private right of action & penalties
SB 140 ties violations to the Texas Deceptive Trade Practices Act (DTPA), giving consumers the right to sue directly. Courts may award $500–$5,000 per violation, treble damages, attorney’s fees, and even damages for mental anguish【kelleydrye.com†source】【bloomreach.com†source】.
Here’s where most people get confused:
Marketing SMS
Purpose: Promote, advertise, or induce a sale.
Examples:
“Limited time offer: 20% off today only!”
“Join our new coaching program—spots are filling fast.”
Rules: Requires express written opt-in, opt-out instructions, quiet-hour compliance, and registration in Texas unless exempt【onesignal.com†source】.
Transactional / Informational SMS
Purpose: Deliver info tied to an action the prospect already took.
Examples:
“Your appointment is confirmed for Tuesday at 3 p.m.”
“Reply R to reschedule or C to cancel.”
Rules: Covered under “prior express consent” if the person gave you their number to request info or schedule a call. Best practice: still include “Reply STOP to opt out”【bloomreach.com†source】.
The difference is intent. If the text helps the person with what they asked for, it’s transactional. If it’s pushing something they didn’t ask for, it’s marketing.
Prospect fills out a form requesting info.
Rep:
Hi Sarah, this is Mike from CharlieAI 👋 Thanks for requesting info. Just to confirm—you’re looking for ways to book more qualified calls without hiring more setters, right?
(Reply STOP to opt out.)
Prospect:
Yes, that’s right.
Rep:
Perfect. Quick question—are you currently running paid ads, or is most of your lead flow organic?
Prospect:
Mostly paid ads.
Rep:
Got it. That’s where CharlieAI shines—we help businesses like yours turn more of those ad leads into booked calls. Would you like me to share a quick case study?
Prospect:
Sure.
Rep:
Here’s one: a client added 100 extra bookings in a week without increasing ad spend.
Does it make sense to hop on a quick call so I can walk you through what this could look like in your business?
Prospect:
Yes, let’s do it.
Rep:
Perfect—your call is confirmed for Wed at 10 a.m. I’ll send you the Zoom link. Looking forward to it!
(Reply STOP to opt out of reminders.)
Prospect fills out a form requesting info. Instead of a conversation, the business blasts promos.
Rep:
Huge news! Get 20% off our premium package TODAY ONLY. Click here 👉 [link]
Prospect:
Wait, who is this? I just wanted info about your service.
Rep:
We help business owners like you make more money fast. Lock in your spot now before prices go up again.
Prospect:
I’m not sure I signed up for this…
Rep (next day):
Reminder! Don’t miss this special offer. Call now
Compliant Flow
Responds to prospect’s request
Conversational & helpful
Includes opt-out option
Ends with a booked appointment
Non-Compliant Flow
Sends unsolicited promos
Spammy & pushy
No opt-out provided
Ends with frustration
Get Clear Consent
On your forms, say:
“By providing your number, you agree to receive SMS about your inquiry, appointment, and related services. Reply STOP to opt out.”【constantcontact.com†source】Separate Appointment Messages from Promotions
• Appointment confirmations, reminders, reschedules? → Safe.
• Promo campaigns, discounts, upsells → Need explicit marketing opt-in【richtfirm.com†source】.Respect Quiet Hours + Opt-Outs
• Don’t text Texans outside 9 a.m.–9 p.m. Mon–Sat or before noon on Sundays【attentive.com†source】.
• Honor STOP immediately.
You need to register if…
You’re sending marketing or promotional SMS designed to “induce a person to purchase, rent, claim, or receive an item”【capitol.texas.gov†source】.
That includes campaigns, promos, upsells, case study blasts, or discount offers.
You do NOT need to register if…
You’re only sending transactional or informational SMS that are directly tied to an action a customer already took (like scheduling a call, requesting info, or opting in for updates).
Examples:
• “Your appointment is confirmed for Tuesday at 3 PM.”
• “Reply R to reschedule or C to cancel.”
• “Here’s your Zoom link: [link].”
These are considered transactional communications, not “telephone solicitations,” because they’re responding to a request the user made.
If you blend transactional + promotional content in the same message (e.g., “Your appointment is confirmed… P.S. here’s a client case study showing how you could add $50k this month”), you’re drifting into marketing territory. That could trigger SB 140 requirements.
Conversational text, Appointment confirmations, reminders, reschedules, and no-show follow-ups → Safe.
Marketing blasts, upsells, or prospecting SMS → Registration required unless you fall under an exemption (like contacting current customers under the same business name for 2+ years).
Always include “Reply STOP to opt out” even for transactional messages — it’s not always legally required, but it protects you if someone complains.
You may not need to register your use of SMS falls under transactional SMS related to scheduled calls.
You do need to register (or confirm an exemption) if you’re running marketing SMS campaigns in Texas.
SMS isn’t going anywhere. The laws aren’t here to kill your growth—they’re here to stop bad actors from blasting spam.
So stop stressing. Stop listening to the fear.
If you collect consent, respect your prospect, and separate promos from appointment logistics, you can text confidently—and win bigger than your competition who froze up in panic.
At Charlie, we build our systems with compliance baked in, so you don’t have to carry that burden on your own. You get the upside without the anxiety.
Use SMS as the leverage it’s meant to be. Do it smart. Do it compliant. And keep your calendar full.
Share your number and Charlie will text you to start a conversation. You can ask questions, explore features, or even request a call directly with the AI.