SMS Messaging Compliance - Lead Generation

[Jonathan_Vimont]

Navigating FCC's New Consumer Consent Rules for Mobile Marketing (Effective January 2025)

The Federal Communications Commission (FCC) is implementing updated rules starting January 27, 2025, to strengthen consumer privacy in mobile marketing. These regulations address gaps in existing consent practices and require businesses to secure explicit, individual consent before engaging in automated communications like robocalls, SMS, or MMS messages.

What’s Changing?

1. Individual Seller Consent Requirement:
   Businesses must obtain prior express written consent for each individual seller before initiating marketing communications. Blanket consent covering multiple entities is no longer permissible.
   
   

2. Enhanced Disclosures and Affirmative Actions:

   • Clear Disclosures: Businesses must clearly state who is contacting the consumer and for what purpose.

   • Unambiguous Consent: Consent must be obtained through explicit, affirmative actions, such as signing an online form.
     
     

3. Documentation and Retention:
   Companies are required to document and securely store all consent records, including time stamps, opt-in mechanisms, and user agreements, to demonstrate compliance during potential FCC inquiries.
   
   

4. Exemptions:

   • Emergency Alerts: Communications concerning health and safety emergencies are exempt.

   • Transactional Messages: Non-marketing messages related to ongoing transactions, such as delivery updates, remain outside the scope of these rules.
     
     

For further details, review the official FCC documentation:
FCC Closes Lead Generator Robocall Loophole and Adopts Robotext Rules

Risks of Non-Compliance

Failing to adhere to the new FCC guidelines can lead to severe consequences, including:

• Financial Penalties: Up to $500 per violation and up to $1,500 for willful violations under the Telephone Consumer Protection Act (TCPA).

• Legal Repercussions: Exposure to costly class-action lawsuits.

• Reputational Damage: Erosion of consumer trust and brand credibility.

How to Stay Compliant

1. Review Existing Consent Practices:
   Conduct a thorough audit of current consent mechanisms to ensure alignment with the updated FCC requirements.

2. Implement Clear and Specific Opt-In Forms:
   Consent language should be clear, user-friendly, and tailored to each individual seller.

3. Leverage Automation:
   Utilize automated systems to track, store, and manage consent records for regulatory compliance.

4. Facilitate Easy Opt-Outs:
   Provide consumers with straightforward mechanisms to withdraw consent, maintaining transparency and trust.

Best Practices for Businesses

Industry leaders, such as Sinch, recommend proactive measures to navigate these changes:

• Adopt robust consent management solutions to streamline compliance.

• Engage legal or regulatory teams familiar with the TCPA to evaluate and refine your business practices.

• Stay informed through detailed resources, such as guides and compliance tools, to adapt seamlessly to regulatory updates.

For additional support, consult your compliance team, legal counsel, or the US Compliance Team for questions. You can also explore other Community articles here and  Sinch's Resources and Documentation to help your business messaging products stay compliant.

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