By: Jason Prince, Esq., Jeffrey Backman, Esq., and Roy Taub, Esq.
A single outbound call or text to a customer could cost your business millions. In today’s hyper-regulated communication environment, the Telephone Consumer Protection Act (TCPA) is not just a legal technicality; it’s a financial tightrope. For businesses, the consequences can be devastating, turning what seemed like a simple consumer contact campaign into a multi-million-dollar nightmare.
A Surge in TCPA Litigation
TCPA lawsuits are climbing at an alarming pace. According to WebRecon, 1,609 TCPA cases have been filed as of July 2025, representing a 110% increase over the same period last year. This isn’t a problem limited to large corporations. Small and mid-sized businesses are being targeted too, often for communication practices they assumed and likely were harmless.
Common Alleged TCPA Violations
Businesses often find themselves in trouble by failing to:
- Obtain proper consent: Prior express consent may be required before making contact with consumers.
- Adequately manage consent: Different types of outreach may require different levels of consent (or none at all), and mismatches can lead to pitfalls.
- Honor opt-out requests: It is good practice to ensure that consumers are provided with simple ways to opt out of future communications.
- Comply with the National Do Not Call (DNC) Registry: While there are exceptions, including consent and other existing relationships, it is a good practice to pay attention to the DNC Registry and related rules.
The Cost of Non-Compliance
- Damages: Damages can be $500 per TCPA violation.
- Willful fees: If proven to be committed “willfully or knowingly,” a business could face up to $1,500 per violation.
- Legal fees: TCPA lawsuits are lengthy and costly, with substantial legal fees.
- Increased compliance costs: violations often require an increase in regulatory audits, updates to compliance and CRM systems, and comprehensive staff training.
Non-Financial Repercussions
- Reputational damage: TCPA violations can damage the reputation of a company, eroding consumers’ trust in the brand, which can lead to further long-term losses impacting future revenue.
- Operational disturbances: Litigation can freeze outreach campaigns, halting vital customer communications and draining management’s time.
- Increased regulatory scrutiny: Companies found in violation may face heightened oversight and further investigations by the Federal Communications Commission (FCC) and the Federal Trade Commission (FTC).
The complexity of TCPA regulations, coupled with their severe penalties, makes proactive compliance an absolute necessity.
Protect Your Business Now
The team at Greenspoon Marder understands the nuances of TCPA compliance and litigation. From proactive compliance audits and policy development to aggressive defense against alleged violations, our attorneys are equipped to protect your business. Contact us for guidance and assistance in navigating the complexities of TCPA litigation and click here to sign up to receive Greenspoon Marder’s TCPA blog.
