Marketing via SMS is great, but don’t get sued!

SMS marketing lesson: One bad apple can spoil the bunch

Consumers confused about early termination fees: F

An angry mobile phone user

The United States Federal Trade Commission has singled out one bad actor that has allegedly been sending out tons of text messages to consumers that have not opted in. Will this hurt the vast majority of SMS marketers who play by the rules?

The FTC has filed an action in federal court seeking to shut down an operation that allegedly blasted consumers with millions of unlawful text messages and email messages without the recipients’ consent. Many of the messages advertised a mortgage modification Web site called “Loanmod-gov.net.”

“Over the years, Mobile Marketer has reported on a number of lawsuits involving unsolicited text messages,” said Gonzalo Mon, partner at Kelly Drye & Warren LLP, Washington. “Most of those cases have dealt with instances in which legitimate companies promoting legitimate services have gotten in trouble, either because they were not aware of certain legal requirements or because they failed to interpret those requirements correctly.

 

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