To run an effective marketing campaign, you can’t just do what’s needed to get results. You have to follow the law to the letter. Ignoring marketing laws can turn your campaign into a liability, so it’s in your best interest to get compliant as soon as possible.
For instance, one unsolicited text, a misleading claim, or a copyright violation can trigger fines, lawsuits, and reputational damage. If you want to scale your marketing effectively, you need to understand where the biggest legal traps are and how to stay on the right side of the law.
Contents
1. Violating the Telephone Consumer Protection Act (TCPA)
The Telephone Consumer Protection Act is one of the most commonly violated marketing laws and is an easy way to get sued. TCPA lawsuits are common because consumers can pursue them individually or as class actions. This law regulates telemarketing calls, auto-dialed messages, and text messaging campaigns. To perform any of these marketing moves, you need explicit consent.
You can’t contact anyone – even your own customers – without documented permission. For example, just because you collected phone numbers from your contacts doesn’t mean you have permission to contact them. You need prior express written consent before sending texts or calling them. If you didn’t get that permission when they entered their phone number in your web sign-up form, you don’t have legal permission to contact them. Your forms need opt-in language that clearly explains what they’re agreeing to by submitting their information.
Every unauthorized message or call can result in fines between $500 and $1,500 per violation, which will add up fast in large campaigns. And if your system continues to message someone after they reply “STOP,” you can still get in trouble. Opt-outs are required to go into effect immediately.
2. Misleading or unsubstantiated claims
Marketing messages that aren’t accurate and substantiated are risky. Any claims about results, performance, or benefits must be backed by hard proof, or you can get in trouble with the Federal Trade Commission (FTC). Testimonials don’t count as proof. For example, saying or implying that your product will produce certain results without verifiable objective proof is a huge red flag for the FTC.
Testimonials are a touchy subject because you can’t legally publish anything you haven’t personally verified. That means if a customer submits a testimonial claiming they earned $30,000 in one day with your program, it’s illegal to publish it without personally looking at their financial records and establishing proof that the money came from their use of your program.
Certain industries like health, supplements, and weight loss face even stricter scrutiny where all claims need to be supported by scientific evidence, not just bank statements and other paper trails.
3. Ignoring email marketing laws like the CAN-SPAM Act
Email marketing produces high ROI, but it’s heavily regulated. Ignoring the CAN-SPAM Act can lead to harsh penalties. For instance, every email must include a clearly visible one-click unsubscribe option. If the link isn’t visible or is hard to click, it’s a violation of the law.
All email subject lines are required to reflect the actual content of the email. Clickbait subject lines designed to increase open rates are considered deceptive. Most importantly, every email must include a valid physical postal address. Skipping this requirement can trigger compliance violations, and each email sent without an address can result in penalties of $50,000 or more.
4. Using someone else’s content without permission
Content is easy to copy and paste, but that doesn’t make it legal to use. Copyright infringement is a quick way to get taken down by a lawsuit. For example, you can’t use images you find in a Google search or share screenshots of Facebook comments from your fans without permission. You also can’t copy blog posts, product descriptions, or any other content without permission from the original author.
You also need to be extra cautious about licensing agreements for stock photos and music. Not all license agreements allow commercial use without paying extra fees, and sometimes they limit the number of impressions or product sales per license fee.
5. Violating data collection laws
Data collected from customers is your most valuable marketing asset, but it’s heavily regulated. Anytime you collect data through forms, cookies, or any tracking tool, it must be disclosed. You’re also required to have a process in place for consumers to request the deletion of their data (and you need to follow through).
Compliance is fundamental to sustainable marketing
If your marketing efforts ignore the law, you’re on shaky ground. Tactics that create quick wins can also trigger lawsuits, fines, and possible shutdowns. If your goal is to grow your business, make compliance fundamental to your strategy.
