May 8, 2025
If your business communicates with customers through telephone calls or text messages, TCPA compliance is not optional—it’s the law. Violating the rules can lead to hefty fines, class action lawsuits, and serious damage to your reputation. In this blog, we’ll break down what TCPA compliance is, how it started, why it’s important, and what you need to do to stay on the right side of the law.
TCPA compliance refers to adhering to the rules set forth by the Telephone Consumer Protection Act (TCPA), a federal law signed into law in 1991 to restrict telephone solicitations, auto-dialed calls, artificial or prerecorded voice messages, text messages, and unsolicited faxes. The law protects consumers from unwanted communication and gives them more control over how and when businesses contact them.
For businesses, TCPA means obtaining prior express written consent before sending marketing messages or making calls using an automatic telephone dialing system. It also includes honoring the National Do Not Call Registry and providing clear opt-out mechanisms for consumers.
President George H.W. Bush signed into law the TCPA in 1991 as a response to growing public complaints about aggressive and intrusive telemarketing practices. The law has since evolved with technology, extending its reach to cover mobile phones, SMS marketing, phone numbers stored in marketing databases, and automated systems.
Over the years, the Federal Communications Commission (FCC), the courts, and even the Supreme Court—including in landmark cases like Facebook v. Duguid—have interpreted and updated the rules, making TCPA compliance an ongoing challenge for businesses that use modern communication methods like robocalls and SMS campaigns.
There are many reasons why TCPA compliance should be a top priority for your business:
1. Financial Risk: Violations can result in fines of $500 to $1,500 per call or text message. In class action lawsuits, damages can escalate into millions and grant consumers a private right of action.
2. Reputation Management: Non-compliance damages trust and can lead to negative press, online backlash, and customer churn.
3. Customer Trust: Following TCPA guidelines builds confidence and shows customers that you respect their privacy and handle contact information responsibly.
4. Legal Obligation: TCPA is a federal law. Failing to comply puts your company at legal risk, regardless of your industry.
To maintain TCPA compliance, businesses must take the following actions:
1. Obtain Prior Express Written Consent: This is a must before sending marketing texts or using auto-dialers.
2. Maintain Records: Always keep records of consent, including how and when you obtained it.
3. Honor Opt-Out Requests: Every communication should offer a simple and clear way for recipients to unsubscribe.
4. Avoid Calling Numbers on the National Do Not Call List: Regularly scrub your call list against the registry.
5. Time Restrictions: Telemarketing calls can only be made between 8 a.m. and 9 p.m. local time.
Failure to implement even one of these could mean your business is out of TCPA compliance.
As businesses increasingly rely on SMS, voice broadcasting, and AI-powered dialers, TCPA compliance has become more complex. For example:
1. AI and Chatbots: If an AI system like SimpSocial’s Sarah AI sends outbound messages, it must be programmed to honor opt-out requests and only contact individuals who have given consent.
2. CRM and DMS Integration: Integrated systems must be configured to store and respect consent statuses across platforms to remain TCPA compliant.
3. Mass Messaging Tools: Tools that send high volumes of texts or make telephone calls must include opt-out language and track engagement to ensure ongoing TCPA compliance.
To stay ahead, implement these best practices:
1. Use Double Opt-In: This reduces the chance of contacting someone without valid consent.
2. Audit Your Processes Regularly: Ensure your team understands TCPA compliance and follows updated procedures.
3. Train Your Staff: Everyone handling telephone solicitations should know the dos and don’ts of TCPA.
4. Partner with Compliant Platforms: Use tools (like SimpSocial!) that are built with TCPA compliance in mind.
5. Use Consent Management Systems: Track opt-ins, opt-outs, and consent revocation in real time.
At SimpSocial, we take TCPA compliance seriously. Our tools are built to help car dealerships and service businesses generate leads while following federal guidelines. From automated opt-out handling to customizable consent forms and contact information management, plus seamless integration with your CRM, we make TCPA compliance simple and effective.
Whether you’re sending promotional texts, appointment reminders, or follow-up messages, our system helps ensure every communication is fully TCPA compliant—whether it involves phone numbers from your call list, or voice broadcasts using an artificial or prerecorded voice.
Ignoring TCPA compliance is no longer an option. As communication channels evolve, so do the expectations of both regulators and customers. By making TCPA a core part of your strategy, you’ll not only avoid costly penalties but also build stronger, more trusted relationships with your audience.
Remember: TCPA compliance isn’t a one-time task—it’s an ongoing commitment to legal and ethical communication, guided by evolving interpretations from regulators and the Supreme Court, and shaped by landmark cases such as Facebook v. Duguid.
