What is the Guidance from the FTC on Text Messages?
In addition to FTC enforcement of deceptive practices under the FTC Act, text message marketing is also highly regulated by the Federal Communications Commission (“FCC”). Under the CAN-SPAM Act, sending unsolicited commercial text messages is illegal.
Marketers must receive a consumer’s written permission to send text messages. Unless the recipient requests the texts, the marketer may not send the consumer a single text. The FCC’s amended Telephone Consumer Protection Act (“TCPA”) made it mandatory in 2012 for businesses to receive “prior express written consent” before sending any text messages.
The mobile platform is particularly vulnerable to scammers, mostly because people do not realize the implications of clicking links that look legitimate. They often don’t see, or even examine their bills for “mystery” charges. It is ultimately up to the consumer to report fraudulent practices, to keep track of what services they use or subscribe to on their mobile devices and what types of information they are providing over the internet.
Legitimate marketers should review their policies for best practices and ensure compliance with the law. Keep in mind that you must provide the following in advance:
• Adequate notice. Whenever requesting a mobile phone number, marketers should inform consumers that they will be receiving SMS messages.
• Opt-in consent. Regardless of offline, online or handset-originating acquisition, consumers must first give their express opt-in consent. Online forms require a double opt-in.
• Opting-out. Detail and provide information on how to opt-out, how to get help, where to reference terms and conditions, and that message and data rates may apply when participating in an SMS program.
For more information, see here: www.ftc.gov
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