SMS/A2P Compliance Agreement

SMART Lead Digital | Effective Date: January 1, 2025

This SMS/A2P Compliance Agreement (“Agreement”) governs your use of SMS, MMS, and text messaging features within the SMART Lead Digital platform. By using any messaging features, you agree to comply with all terms outlined below.

This Agreement is required for all SMART Lead Digital customers who use SMS, text messaging, or automated communication features.

1. Why This Agreement Matters

Text messaging is one of the most powerful tools for reaching your customers. It’s also one of the most heavily regulated.

Federal agencies (FCC, FTC) and mobile carriers are aggressively cracking down on spam, unwanted messages, and businesses that don’t follow the rules. Violations can result in:

• Fines of $500 to $1,500 PER TEXT MESSAGE under the Telephone Consumer Protection Act (TCPA)
• Your phone numbers being blocked by carriers (Verizon, AT&T, T-Mobile)
• Your messaging campaigns being shut down without warning
• Lawsuits from consumers who received unwanted messages
• Your business being blacklisted from SMS services entirely

This isn’t theoretical. In 2023 alone, TCPA lawsuits resulted in over $2.3 billion in settlements. A single class action lawsuit can bankrupt a small business.

SMART Lead Digital provides the tools. You are responsible for using them legally.

2. A2P 10DLC Registration Requirements

What is A2P 10DLC?

A2P (Application-to-Person) 10DLC (10-Digit Long Code) is the industry standard for business text messaging in the United States. Mobile carriers now require all businesses sending text messages to register their brand and messaging campaigns.

Your Responsibilities:

• Brand Registration: You must register your business (brand) with The Campaign Registry (TCR) through our platform. This includes providing your legal business name, EIN/Tax ID, business address, and contact information.
• Campaign Registration: You must register each type of messaging campaign (appointment reminders, marketing, etc.) and describe what messages you will send and how you will obtain consent.
• Compliance Verification: Your registration may be reviewed and scored by carriers. Low trust scores can result in reduced message throughput or blocked messages.
• Accurate Information: You must provide truthful, accurate information during registration. False or misleading information can result in immediate termination and carrier blacklisting.

SMART Lead Digital will assist you with the registration process during onboarding, but you are ultimately responsible for the accuracy of your registration and maintaining compliance.

3. Consent Requirements (TCPA Compliance)

The Telephone Consumer Protection Act (TCPA) requires you to obtain prior express written consent before sending marketing text messages. This is not optional.

What Qualifies as Valid Consent:

• The consumer must take a clear, affirmative action (checking a box, signing a form, texting a keyword)
• The consent must be specific to receiving text messages from YOUR business
• The consent language must disclose that automated messages may be sent
• The consent language must state that consent is NOT required to make a purchase
• The consent must include information about message frequency and data rates
• The consent must explain how to opt out

What Does NOT Qualify as Consent:

• Having someone’s phone number (from a business card, online directory, etc.)
• A customer calling your business
• Pre-checked consent boxes on forms
• Buried consent language in lengthy terms
• Consent obtained for one purpose used for another (e.g., appointment reminders used for marketing)
• Purchased lead lists or contact databases

Your Responsibilities:

• You must obtain valid consent BEFORE sending any text messages
• You must maintain records of consent (timestamp, IP address, consent language shown)
• You must honor opt-out requests immediately
• You must not send messages to anyone who has opted out or revoked consent

SMART Lead Digital provides compliant intake forms and consent language templates. However, you are responsible for ensuring consent is properly obtained for every contact you message.

4. Prohibited Content and Practices

The following content and practices are strictly prohibited. Violations will result in immediate account termination without refund.

Prohibited Content (SHAFT):

• Sex: Adult content, dating services, sexually explicit material
• Hate: Hate speech, harassment, discriminatory content
• Alcohol: Alcohol promotions (unless properly licensed and compliant)
• Firearms: Guns, ammunition, weapons promotions
• Tobacco/Cannabis: Tobacco, vaping, marijuana, CBD products

Additional Prohibited Content:

• Illegal products or services
• Gambling (unless properly licensed)
• Payday loans or predatory lending
• Cryptocurrency or high-risk financial schemes
• Phishing, fraud, or deceptive content
• Content designed to mislead or deceive recipients
• Political campaign messages (without proper registration)

Prohibited Practices:

• Sending messages without proper consent
• Sending messages to purchased or scraped contact lists
• Ignoring or delaying opt-out requests
• Sending messages during restricted hours (see Section 5)
• Misrepresenting your identity or business
• Sending excessive messages (spam)
• Using shared short codes for marketing
• Failing to identify your business in messages

5. State-Specific Compliance Requirements

IMPORTANT: Federal law sets the floor, not the ceiling. Many states have stricter requirements that you must follow.

It is YOUR responsibility to know and comply with the laws of every state where your customers are located. SMART Lead Digital cannot provide legal advice and is not responsible for your compliance with state-specific laws.

Key State Examples:

Florida:

• Restricts telemarketing calls and texts to 8:00 AM – 8:00 PM recipient’s local time
• Maximum of 3 text messages per topic within any 24-hour period
• Prior express written consent required
• $500 per violation, up to $1,500 for willful violations

Texas (SB 140 – Effective September 1, 2025):

• Applies to ANY business texting Texas residents, regardless of where your business is located
• Restricts messages to 9:00 AM – 9:00 PM recipient’s local time
• Creates private right of action under the Deceptive Trade Practices Act
• Significant penalties for violations

California:

• CCPA/CPRA applies to businesses meeting certain thresholds
• Consumers have right to know what data is collected and opt out of sales
• Additional consent and disclosure requirements

Connecticut:

• Up to $20,000 per violation for TCPA-like offenses
• One of the most aggressive enforcement states

Oklahoma:

• 3 messages per day limit
• 8:00 AM – 8:00 PM restriction

Your Responsibilities:

• You must know the laws of every state where your customers are located
• You must configure appropriate sending hours based on recipient location
• You must comply with the most restrictive applicable law
• When in doubt, use the safest settings: 8:00 AM – 8:00 PM, limited message frequency

SMART Lead Digital provides tools to configure sending windows and message limits. You are responsible for setting these correctly based on your customer base and applicable laws.

6. Opt-Out Requirements

Every person you text has the right to opt out at any time. You must honor these requests immediately.

Requirements:

• Every message must include opt-out instructions or you must provide them at least once per month
• You must honor standard opt-out keywords: STOP, STOPALL, UNSUBSCRIBE, CANCEL, END, QUIT
• Opt-out requests must be processed within 24 hours (FCC allows up to 10 business days, but faster is better)
• Once someone opts out, you may NOT send them any further messages unless they re-consent
• You must maintain a suppression list of opted-out numbers

Confirmation Messages:

When someone opts out, you may send ONE confirmation message acknowledging their request. This message must not contain any marketing content.

Example: “You have been unsubscribed from [Business Name] messages. You will receive no further texts. Reply HELP for assistance.”

7. Message Identification Requirements

Recipients must be able to identify who is sending them messages.

Requirements:

• Your business name must be clearly identified in messages
• Do not use misleading sender names or numbers
• Do not impersonate other businesses or individuals
• Include contact information so recipients can reach you

Example of Compliant Message:

“[Your Shop Name]: Your vehicle is ready for pickup! Questions? Call us at [phone]. Reply STOP to opt out.”

Example of Non-Compliant Message:

“Your car is ready” (No business identification, no opt-out)

8. Record Keeping Requirements

You must maintain records that prove you had consent to message each contact. In a TCPA lawsuit, the burden of proof is on YOU to show you had consent.

Records You Must Maintain:

• Consent records (timestamp, IP address, consent language shown, method of consent)
• Opt-out records (when someone unsubscribed)
• Message logs (what was sent, when, to whom)
• Campaign registration documentation

Retention Period:

The TCPA statute of limitations is 4 years. We recommend maintaining records for at least 5 years.

SMART Lead Digital retains platform logs, but you should maintain your own independent records of consent. If your account is terminated for any reason, you may lose access to platform records.

9. SMART Lead Digital’s Rights and Responsibilities

Our Rights:

• Monitoring: We reserve the right to monitor messaging activity on our platform for compliance with this Agreement, carrier requirements, and applicable law.
• Audit: We may audit your consent records, messaging campaigns, and compliance practices at any time.
• Suspension: We may suspend your messaging capabilities immediately if we detect potential violations, receive carrier complaints, or observe suspicious activity.
• Termination: We may terminate your account immediately and without refund for violations of this Agreement.
• Reporting: We may report violations to carriers, regulatory agencies, or law enforcement as required or appropriate.

Our Responsibilities:

• Provide compliant intake form templates and consent language
• Provide tools to configure sending windows and opt-out handling
• Process A2P 10DLC brand and campaign registrations
• Maintain platform-level compliance with carrier requirements
• Provide educational resources about SMS compliance

What We Do NOT Do:

• We do not guarantee your messages will be delivered (carrier filtering is outside our control)
• We do not provide legal advice
• We do not monitor every message for content compliance
• We do not verify that you have consent for each contact
• We do not ensure your compliance with state-specific laws

10. Liability and Indemnification

Your Liability:

You are solely responsible for your compliance with all applicable laws, regulations, and carrier requirements governing SMS and text messaging. This includes, but is not limited to, the Telephone Consumer Protection Act (TCPA), CAN-SPAM Act, state telemarketing laws, and carrier acceptable use policies.

SMART Lead Digital Is Not Liable For:

• TCPA violations resulting from your messaging practices
• Fines, penalties, or legal judgments arising from your non-compliance
• Carrier filtering, blocking, or rejection of your messages
• Loss of business due to suspended or terminated messaging capabilities
• Any claims, lawsuits, or regulatory actions related to your messaging

Indemnification:

You agree to indemnify, defend, and hold harmless SMART Lead Digital, The Whitney Group LLC, and their officers, directors, employees, agents, and affiliates from and against any and all claims, damages, losses, liabilities, costs, and expenses (including reasonable attorneys’ fees) arising from or related to:

• Your use of SMS or messaging features on our platform
• Your violation of this Agreement
• Your violation of any applicable law, regulation, or carrier requirement
• Any complaint, claim, or lawsuit from a recipient of your messages
• Any regulatory investigation or enforcement action related to your messaging

In plain English: If your messaging practices get us sued, fined, or in trouble with carriers, you are responsible for all costs and damages. We will cooperate with any investigation and may provide records of your activity to regulators, carriers, or courts.

11. Violations and Consequences

If You Violate This Agreement:

• First Offense (Minor): Written warning and required corrective action within 48 hours
• Second Offense or Serious Violation: Immediate suspension of messaging capabilities pending review
• Severe Violation or Pattern of Non-Compliance: Immediate account termination without refund

Immediate Termination Offenses (No Warning):

• Sending SHAFT content (sex, hate, alcohol, firearms, tobacco)
• Sending messages without any form of consent
• Using purchased or scraped contact lists
• Phishing, fraud, or intentionally deceptive messaging
• Ignoring opt-out requests
• Any activity that results in carrier complaints or blacklisting
• Providing false information during A2P registration

No Refund for Compliance Termination:

If your account is terminated for violation of this Agreement, you are not entitled to any refund of subscription fees, setup fees, or unused credits. You remain liable for any outstanding charges.

12. Your Acknowledgment

By using SMS or messaging features within SMART Lead Digital, you acknowledge and agree that:

• You have read and understand this SMS/A2P Compliance Agreement in its entirety
• You understand your legal obligations under the TCPA and other applicable laws
• You are solely responsible for obtaining valid consent before sending messages
• You are solely responsible for complying with state-specific laws where your customers are located
• You will configure appropriate sending windows and message limits based on applicable laws
• You will maintain records of consent for at least 5 years
• You will honor opt-out requests immediately
• You will not send prohibited content through our platform
• SMART Lead Digital is not responsible for your compliance or non-compliance
• Violation of this Agreement may result in immediate termination without refund
• You will indemnify SMART Lead Digital for any claims arising from your messaging practices

13. Additional Resources

We encourage you to educate yourself further on SMS compliance:

• FCC TCPA Information: fcc.gov/tcpa
• CTIA Messaging Principles: ctia.org
• The Campaign Registry: campaignregistry.com
• Your State Attorney General: Search “[Your State] Attorney General telemarketing laws”

Disclaimer: This Agreement is for informational purposes and does not constitute legal advice. We strongly recommend consulting with an attorney familiar with TCPA and telemarketing law for guidance specific to your business.

14. Contact Information

For questions about SMS compliance or this Agreement:

Email: support@SmartLeadDigital.com

Phone: 702-287-2229

By using SMS or messaging features within SMART Lead Digital, you acknowledge that you have read, understood, and agree to be bound by this SMS/A2P Compliance Agreement.

SMART Lead Digital
A product of The Whitney Group LLC