CASL Clearly Covers Text Messages as Commercial Electronic Messages

Canada's Anti-Spam Legislation (CASL) explicitly applies to outbound text messages, treating them as commercial electronic messages subject to the same consent and identification requirements as email. This is confirmed by government authorities who define spam broadly to include unsolicited text messages sent via telecommunications. For businesses engaging in SMS outreach, this means CASL compliance is not optional when messaging recipients located in Canada, regardless of where the sender is based.

The legislation’s scope is reinforced by enforcement trends showing a clear rise in text-based spam complaints. Between October 1, 2021 and March 31, 2022, Canadians submitted over 167,939 complaints to the Spam Reporting Centre, with spam in the form of text messages explicitly noted as "also on the rise" alongside email concerns. More recently, complaint volume hit its highest six-month total since CASL’s inception in the first half of 2025, signaling increased regulatory scrutiny on SMS marketing practices. These trends underscore that authorities are actively monitoring and acting on violations involving text messages.

For US-based businesses like CallMyCustomers serving Canadian recipients, this creates a clear compliance obligation: any commercial text sent to someone in Canada must meet CASL’s standards for consent, sender identification, and unsubscribe functionality. The law applies based on the recipient’s location, not the sender’s, meaning even messages originating from U.S. operations fall under CASL if the recipient is in Canada. This jurisdictional principle has been affirmed by regulatory guidance and legal interpretations, eliminating ambiguity for cross-border campaigns.

To remain compliant, businesses must obtain express or implied consent before sending commercial texts, maintain verifiable records of that consent, and include accurate sender information with a working unsubscribe mechanism in every message. Implied consent from an existing business relationship expires after two years, while consent from an inquiry expires after six months, requiring ongoing tracking. Senders must also honor unsubscribe requests within 10 business days or face potential penalties of up to $10 million CAD for organizations.

Given the rising enforcement focus and the financial risks of non-compliance, proactive adherence to CASL’s text messaging rules is essential. For companies relying on SMS to reactivate past customers or send service reminders, embedding these requirements into campaign design isn’t just about avoiding penalties—it’s about building trust through permission-based communication. When every message is expected, transparent, and easy to opt out of, outreach becomes more effective and sustainable.

Consent Requirements and Expiry Rules for Text-Based Outreach

Consent is the single most consequential concept in CASL — and the burden of proving it never leaves the sender's desk. If you text a customer in Canada without a defensible consent record, the law treats that message the same as if consent never existed at all.

Under CASL, consent must be opt-in, never opt-out. As legal analysis from Gowling WLG explains, express consent requires clear, informed agreement from the recipient before any commercial text goes out. The form of consent matters: a pre-checked box on a booking form doesn't qualify, because the person must take a deliberate action to agree.

One important nuance: express consent doesn't expire on a timer. It remains valid until the recipient withdraws it, at which point senders must cease messaging within 10 business days. That makes documented express consent the most durable foundation for any text-based outreach program.

Implied consent arises from an existing relationship rather than an explicit "yes," but it carries strict expiry windows:

• Existing business relationship: implied consent expires two years from the relevant transaction — a purchase, contract, or inquiry that converted.
• Inquiry or application: if someone asked about your services but never bought, implied consent expires after just six months.
• A new purchase or inquiry resets the clock, which is why tracking transaction dates matters as much as capturing consent in the first place.

These windows have real operational consequences for reactivation outreach. A customer who last bought 30 months ago has, in most cases, no active implied consent left — texting them requires fresh, express permission.

The CRTC has been unambiguous on this point: as stated in its enforcement announcement covering a $75,000 penalty — the largest ever issued to an individual at the time — "persons sending commercial electronic messages, such as emails, text messages or messages over social media, must prove that consent was obtained."

Compliance specialists warn that a contact list with no record of how consent was captured is treated the same as a list with no consent at all if the CRTC investigates. This is why disciplined list management — knowing when consent was given, how, and what the recipient was told — matters more than good intentions. It's also why CallMyCustomers works only from lists of real customers, segments them by recency, and collects explicit consent during the booking flow, so every outreach rests on a consent record the business can actually point to.

Consent you can't document is consent you don't have. Build your text outreach on records, not assumptions — the two-year and six-month clocks wait for no one.

Practical Compliance Steps for US Businesses Texting Canadian Customers

For US businesses texting Canadian customers, CASL compliance isn't optional—it's mandatory when recipients are located in Canada, regardless of where the sender operates. This means outbound text messages fall under the same strict rules as email, requiring proper consent, identification, and unsubscribe functionality to avoid significant penalties.

CallMyCustomers helps US service businesses navigate these requirements by ensuring every campaign targeting Canadian recipients meets CASL standards from the outset. Since implied consent based on an existing business relationship expires after two years—and inquiry-based consent lapses after six months—maintaining accurate, timestamped records is essential for proving compliance if challenged.

Every commercial text must include clear sender identification (such as a valid mailing address, phone number, or website active for at least 60 days) and provide a no-cost, easily accessible unsubscribe mechanism that is honored within 10 business days. Notably, over 167,939 spam complaints were filed by Canadians between October 2021 and March 2022, with text message spam explicitly noted as "also on the rise," underscoring regulator focus on SMS violations.

• Document how and when consent was obtained for each Canadian recipient, retaining records for three years after the relationship ends.
• Use double opt-in methods for express consent where possible to strengthen proof of agreement.
• Regularly audit contact lists to remove expired implied consent entries and honor opt-outs immediately.
• Ensure all texts clearly identify the business and include a functional unsubscribe link or keyword (e.g., “Reply STOP to opt out”).
• Train teams on CASL requirements, emphasizing that sender location doesn’t exempt messages sent to Canadian recipients.

With CRTC enforcement activity reaching its highest six-month total since CASL’s inception in early 2025, proactive compliance reduces risk while building trust. Businesses that prioritize transparent, permission-based texting not only avoid fines up to $10 million CAD but also foster stronger customer relationships grounded in respect for privacy—a principle central to CallMyCustomers’ approach to reactivation campaigns. By embedding these practices into outreach workflows, US companies can confidently engage Canadian customers via text while staying fully aligned with CASL’s expectations.