How businesses can avoid getting fined for inappropriate or illegal text messages

The fight to protect consumers against inappropriate and illegal text messages is entering a new phase, potentially impacting businesses of all sizes that use text messaging.

Last year, I told you about The Campaign Registry, which seeks to hold bad actors accountable by requiring all businesses—including Ooma business phone service customers—to verify their identity with the telecommunications industry before sending out text messages.

Now, the big mobile carriers are assessing fines on businesses that abuse text messaging, also known as SMS. Violations can also result in a company’s text messaging service being cut off until the situation is resolved—potentially damaging the company’s ability to do business.

Let me explain what’s happening and how legitimate businesses can avoid inadvertent violations.

T-Mobile, one of the big three U.S. wireless carriers along with AT&T and Verizon, put a new policy in effect on January 1, 2024, to assess fines—ranging from $500 to $2,000 per incident—on texting service providers who deliver messages that violate guidelines set by the carrier.

These texting service providers are in turn passing the fines along to companies such as Ooma that provide business phone service. Several of Ooma’s competitors have stated they will then pass these fines along to the customer responsible for the violation. Ooma, too, reserves the right to pass along fines.

It is important to point out that Ooma does NOT inspect the contents of text messages sent or received by our customers at this time. However, T-Mobile and possibly other wireless carriers may do so to levy fines based on what they judge to be inappropriate or illegal content. Ooma has no control over the carriers’ policies and all companies that provide text messaging service, including Ooma, are subject to them. The wireless carriers are setting their own policies regarding what messages are allowable on their networks.

What type of text messages cross the line? T-Mobile explains its approach at https://www.t-mobile.com/support/plans-features/consumer-versus-non-consumer-text-messaging. The page points to the company’s code of conduct at https://www.t-mobile.com/support/public-files/attachments/T-Mobile%20Code%20of%20Conduct.pdf.

That code of conduct says, in part:

“No messaging programs can run on the T-Mobile (network) that may promote unlawful, unapproved, or illicit content, including but not limited to:

• SPAM
• Fraudulent or misleading messages
• Depictions or endorsements of violence
• Inappropriate content
• Profanity or hate speech
• Endorsement of illegal drugs

“Programs must operate according to all applicable federal and state laws and regulations. In addition, the content must be legal across all 50 states …

“The following content categories are considered deceitful and nuisance campaigns which may result in high volumes of SPAM complaints on the T-Mobile network. Due to these issues, we will no longer support any campaign under the following categories, regardless of any prior approval …

• Payday Loans
• Non-Direct Lenders
• Debt Collection

• Debt Consolidation
• Debt Reduction
• Credit Repair Programs

• Cannabis
• Illegal Prescriptions

• Work from Home Programs
• Job Alerts from 3rd Party Recruiting Firms
• Risk Investment Opportunities

• Gambling
• Any other illegal content
• Lead generation indicate the sharing of collected information with third parties
• Campaign types are not in compliance with the recommendations of or prohibited by the CTIA Short Code Monitoring Handbook, Version 1.7, or later.
• Campaign types not in compliance with the recommendations of or prohibited by the CTIA Messaging Principles and Best Practices – 2019 version”

The two bullet points immediately above refer to documents from the CTIA, the trade association for the cellular industry, which also sets guidelines for text messaging. CTIA’s guidelines are primarily in those documents:

• The CTIA Messaging Principles and Best Practices, updated in May 2023, at https://api.ctia.org/wp-content/uploads/2023/05/230523-CTIA-Messaging-Principles-and-Best-Practices-FINAL.pdf.
• The CTIA Short Code Monitoring Handbook, updated in August 2023, at https://api.ctia.org/wp-content/uploads/2024/01/CTIA-Short-Code-Monitoring-Handbook-v1.9-FINAL.pdf.

It’s important to note that T-Mobile and the CTIA require text messaging content to be legal in all 50 states. This means that businesses engaged in activity that is legal in their state—such as cannabis sales and some forms of gambling—can face fines even if they only text customers within that same state.

I realize this is a lot of information to absorb, but we aren’t aware of any simple rule of thumb that will guarantee a business doesn’t send text messages that violate the rules set by the carriers.

We also can’t promise to have all the answers and can’t provide legal advice, Ooma customers are always welcome to contact our support team with questions, 24 hours a day and 7 days a week, at (866) 939-6662.