
On January 24th, the Federal Communications Commission (FCC) announced a significant postponement regarding its one-to-one consent requirement for text messaging.
Originally set to take effect on January 27, 2025, this regulation mandates that companies obtain explicit consent from customers for each marketing partner before sharing their personal information.
The enforcement date has now been pushed back to at least January 26, 2026, unless a court ruling necessitates an earlier implementation.
Legal Background
This delay stems from an ongoing lawsuit in the Eleventh Circuit Court of Appeals.
The plaintiffs argue that the FCC has exceeded its authority by insisting on individual consent, claiming such a requirement contradicts the concept of “prior express consent.” Additionally, they believe the Commission failed to adequately consider the economic impacts of the rule, warning that compliance costs could escalate dramatically, particularly affecting the insurance sector.
Regulatory Concerns
Initially intended as a safeguard against intrusive telemarketing practices, the FCC’s one-to-one consent regulation has drawn criticism from various industry players.
Many stakeholders view it as excessive and a hindrance to business operations.
A ruling from the Eleventh Circuit is expected soon, which may further clarify the future of this controversial rule.
Industry Implications
The FCC’s decision to delay coupled with the impending court ruling could potentially reshape the landscape for financial institutions that rely on telemarketing and data-sharing in their marketing strategies.
As developments unfold, we will monitor this case closely, along with other related legal matters surrounding the one-to-one consent requirement, to keep our audience informed.
Source: Natlawreview