Texas Just Changed the Rules for SMS Marketing - Here's What You Need to Know

If you’re a U.S. winery using SMS marketing -- or even just considering it -- you need to know about a new Texas law that quietly went into effect on September 1, 2025. 

Senate Bill 140 (S.B. 140) expands the state’s telemarketing laws to include promotional text messages, and it applies to any business texting Texas residents, regardless of where that business is located.

For small, family-owned wineries already navigating a shrinking market, this law could introduce new compliance risks, legal exposure, and operational headaches. 

And while I’ve long been an advocate for SMS wine marketing, we can no longer recommend it for most wineries unless they’re either exempt from S.B. 140 or have a customer base concentrated in Texas.

Let’s break down what’s changed -- and what you can do about it.

⚖️ What S.B. 140 Actually Says

S.B. 140 updates the definition of “telephone solicitation” to include SMS, MMS, and RCS messages. That means promotional texts now fall under the same rules as telemarketing calls, including:

  • Quiet hours (no unsolicited texts during restricted times)

  • Mandatory registration with the Texas Secretary of State

  • $10,000 bond or surety requirement

  • Quarterly compliance reporting

  • Private enforcement rights, allowing individuals to sue violators directly

Each violation can trigger fines up to $5,000 -- and yes, that includes businesses outside Texas.

🧩 Who’s Most at Risk?

Only about 14% of U.S. wineries currently use SMS marketing. Of those, some are:

  • Based in Texas (compliance is a no-brainer)

  • Publicly traded or long-established (may qualify for exemptions)

  • Using SMS only for transactional messages (less affected)

But many small wineries fall into a gray zone. They’re texting loyal customers, unaware that a Texas resident on their list could trigger legal exposure. 

And here’s the kicker: area codes and shipping addresses don’t prove residency. Unless you’re collecting verified state-of-residence data, you can’t be sure you’re not texting someone in Texas.

🧠 Exemptions Exist -- But They’re Tricky

S.B. 140 includes exemptions for:

  • Businesses contacting current/former customers under the same name for 2+ years

  • Subscription-based sellers (e.g., wine clubs)

  • Brick-and-mortar businesses operating for 2+ years

  • Certain regulated/licensed entities

But these exemptions aren’t automatic. You’ll need to evaluate your business model, message content, and customer relationships carefully. And if you’re unsure, talk to a lawyer -- preferably one licensed in Texas.

💸 The Cost of Compliance

If you want to keep texting Texas residents, you’ll need to:

  • Register with the state ($200/year)

  • Post a $10,000 bond (or pay ~$100/year for a surety bond)

  • Submit quarterly reports

That’s not outrageous -- but it’s a new layer of cost and complexity. And for wineries already cutting expenses, it may not pencil out.

🧨 The Real Risk: Predatory Enforcement

This law also opens the door to ADA-style shakedowns, where out-of-state lawyers target small businesses with lawsuits over technical violations. Even if you have a solid defense, legal costs and time drain can be devastating -- especially if you don’t have a Texas attorney on retainer.

🚪 What You Can Do Right Now 

  1. Consult your compliance officer or attorney to confirm your risk level vs. your need to use text marketing.

  2. If you've already complied with S.B. 140, follow the rules, keep texting, and hope for the best.

  3. If you're not exempt from the law, consider the costs and benefits of complying with S.B. 140.

  4. If you're not exempt from the law, also consider other proven ways to communicate directly with loyal customers, using email, direct mail, or affordable mobile apps customized for wine marketing.

🍷 Final Thought

S.B. 140 doesn’t have to be a crisis. But it is a wake-up call. 

If you’re one of the 14% of wineries using SMS, take a moment to assess your exposure, review your exemptions, and decide whether this channel still makes sense for your business.

And if you’re not using SMS yet? Maybe that’s a blessing in disguise.

Let’s keep selling wine. Let’s keep it legal. And let’s keep small wineries thriving -- no matter what laws get thrown our way.

Happy Selling!


P.S. Be thankful we're not in the lab-grown meat business; on the same day S.B. 140 went into effect, Texas made it illegal to "manufacture, process, possess, distribute, offer for sale, or sell cell-cultured protein.” 

**DON'T MESS WITH TEXAS**