{"id":37667,"date":"2015-07-16T00:00:00","date_gmt":"2015-07-16T00:00:00","guid":{"rendered":"https:\/\/newrcblog.wpengine.com\/3-us-laws-related-to-email-marketing-you-need-to-know\/"},"modified":"2025-07-03T02:04:48","modified_gmt":"2025-07-03T09:04:48","slug":"3-us-laws-related-to-email-marketing-you-need-to-know","status":"publish","type":"post","link":"\/us\/en\/blog\/3-us-laws-related-to-email-marketing-you-need-to-know\/","title":{"rendered":"3 US Laws Related to Email Marketing You Need to Know"},"content":{"rendered":"

\"email<\/a>There\u2019s a good financial reason that businesses are increasingly focusing on email marketing: according to a study by Pingdom<\/a>, a well executed email marketing campaign returns just over $44 for every dollar a company invests. Simply buying an email list and firing off thousands of emails, however, will likely land you in legal trouble. So before launching your first email marketing campaign, you should be familiar with the three following U.S. laws that each apply to different aspects of email marketing.<\/p>\n

1) CAN-SPAM: Requiring Sender Disclosure<\/strong><\/p>\n

The CAN-SPAM Act<\/a> is the most on-point law relating to email marketing in the U.S.\u00a0 Enacted in 2003, the purpose was to reduce junk mail primarily by creating disclosure requirements on the part of the sender, and rules governing how your contact list can be created.<\/p>\n

Some of CAN-SPAM\u2019s requirements are that commercial emails must affirmatively disclose that the email is an advertisement, have a non-misleading email header, the sender must list a valid postal address in the email, and must have an obvious and functioning unsubscribe option. And with respect to how email addresses are collected, the law requires that they cannot use software to scrape them from websites.<\/p>\n

Enforcement: <\/em><\/strong>The Federal Trade Commission<\/a>\u00a0is governmental organization tasked with enforcing this law. While it has been successful in reducing spam sent by U.S. companies, there is still so much spam sent everyday that the FTC is unable to pursue most complaints, and so they typically only pursue very high volume or high profile violators. When they do prosecute a violator, the penalties can be staggering, up to $16,000 per violating email.<\/p>\n

2) FTC: Rules Governing Discount Offers<\/strong><\/p>\n

Most effective email marketing campaigns include a discounted or free product offer. When doing so, however, it\u2019s important to know that you\u2019ll need to comply with the Federal Trade Commission\u2019s rules on deceptive advertising<\/a> specifically as they apply to free or discounted offers. The FTC requires that discounted or free offers be \u201cspecial and meaningful\u201d which in laymans terms means that it needs to be a real discount and it needs to be temporary. Specifically, if you\u2019re going to offer something at a discounted rate or as a freebie, you can\u2019t do so for more than six months, without taking a thirty day break in which you offer the product at full price.<\/p>\n

Enforcement: <\/em><\/strong>As with CAN-SPAM, the enforcement of this law is by the government itself. The FTC has limited resources so in general they wait for cases to be brought to their attention by the public. When they do decide to take action, however, they do so swiftly, and punishments can be severe.<\/p>\n

3) Lanham Act: The Private Cause of Action<\/strong><\/p>\n

The Lanham Act<\/a> dates back to 1946, and is the primary US law regulating all false or misleading advertising, including email marketing, that let\u2019s non-governmental organizations sue for misleading advertising.<\/p>\n

The Lanham Act is a US law that, at least in theory, prevents companies from making outright lies in their marketing campaigns. But if you\u2019ve noticed all of the \u201cLose 30 pounds in a week!\u201d types of campaigns, which are obviously false, you know that it\u2019s not very aggressively enforced.<\/p>\n

Enforcement: <\/em><\/strong>The reason, is that to be able to bring a lawsuit under the Lanham Act, you can\u2019t just be a customer as you might think logical, but rather you must be a (a) competitor, suing about an ad in a (b) commercial setting, that contains a (c) false or misleading statement, description or representation, and the misleading portion of the ad must be (d) material to a client\u2019s buying decision-making.<\/p>\n

Thus, digital advertising that is otherwise compliant with other laws but is blatantly misleading, probably won\u2019t be stopped because the likelihood of a competitor spending their time, energy, and money to bring a lawsuit against your organization isn\u2019t likely.<\/p>\n

Conclusion<\/strong><\/p>\n

Email marketing can be one of the most cost-effective forms of advertising for companies to engage in. It is important, however, that you ensure that your email campaigns comply with the applicable U.S. laws. As a general rule, if your emails are sent to willing recipients, transparent as to who they are from, and the offers are honestly made you will be off to a good start.<\/p>\n","protected":false},"excerpt":{"rendered":"

There\u2019s a good financial reason that businesses are increasingly focusing on email marketing: according to a study by Pingdom, a well executed email marketing campaign returns just over $44 for every dollar a company invests. Simply buying an email list and firing off thousands of emails, however, will likely land you in legal trouble. So …<\/p>\n","protected":false},"author":138,"featured_media":37668,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[18390,18391],"tags":[8813,8816,8817,8821,8822,8823,8825,8826,8827,8828,8829,8830,8832,8837,8838,8839,8840,8841,8842,1480,254,8844,3563,8847,8848,8849,8850,8851,8852,1216,8854,8855,8856,8857,8858,8859,8860],"class_list":["post-37667","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-communication-and-collaboration","category-it-leadership","tag-advertisement-email","tag-business-compliance-with-can-spam","tag-business-emails","tag-can-spam","tag-can-spam-act","tag-can-spam-act-a-compliance-guide-for-business","tag-can-spam-rule","tag-commercial-emails","tag-commercial-messages","tag-deceptive-advertising","tag-disclose-that-the-email-is-an-advertisement","tag-discount-offers","tag-email-list","tag-email-unsubscribe","tag-federal-trade-commission","tag-ftc","tag-internet-2011-in-numbers","tag-lanham-trademark-act","tag-lanham-act","tag-law","tag-marketing","tag-measuring-roi","tag-online-advertising","tag-pingdom","tag-privacy-and-security","tag-reduce-junk-mail","tag-reduce-spam","tag-requirements-for-commercial-messages","tag-return-on-invstment","tag-roi","tag-rules-governing-discount-offers","tag-rules-on-deceptive-advertising","tag-san-spam-requirements","tag-spam","tag-unsubscribe","tag-unsubscribe-list","tag-unsubscribe-option"],"acf":[],"yoast_head":"\n3 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McIver","image":{"@type":"ImageObject","inLanguage":"en-US","@id":"https:\/\/secure.gravatar.com\/avatar\/9a8d989fa7e72af5bd5cf487cf7080318b695de4be89de382c5e64305dd0249c?s=96&d=mm&r=g","url":"https:\/\/secure.gravatar.com\/avatar\/9a8d989fa7e72af5bd5cf487cf7080318b695de4be89de382c5e64305dd0249c?s=96&d=mm&r=g","contentUrl":"https:\/\/secure.gravatar.com\/avatar\/9a8d989fa7e72af5bd5cf487cf7080318b695de4be89de382c5e64305dd0249c?s=96&d=mm&r=g","caption":"Rich McIver"},"description":"Rich McIver is the Founder and Marketing Manager for Merchant Negotiators, a website that helps small businesses find cheaper card processing rates. He sits on the board of Best Online Universities LLC. Additionally, he is an attorney who has advised and participated in a number of companies' founding, raising capital, business transitions including private sale and private equity buyouts, risk management, advertising and marketing legalities. Follow him on Google+ and Facebook.","sameAs":["https:\/\/merchantnegotiators.com\/cheapest-credit-card-processors\/"],"url":"\/us\/en\/blog\/author\/rich-mciver\/"}]}},"rc_img_url":"\/us\/en\/blog\/wp-content\/uploads\/2020\/07\/email-marketing-laws.jpg","rcblog_by_author":"<a href=\"\/us\/en\/blog\/author\/rich-mciver\/amp\" data-dl-events-click=\"true\" data-dl-element=\"link\"><span class=\"image\"><img src=\"https:\/\/secure.gravatar.com\/avatar\/9a8d989fa7e72af5bd5cf487cf7080318b695de4be89de382c5e64305dd0249c?s=96&d=mm&r=g\" alt=\"\" width=\"30\" height=\"30\" layout=\"fixed\"><\/img><\/span><span class=\"by-author-name\">Rich McIver<\/span><\/a>","rc_author_full_name":"Rich McIver","rc_author_avatar":"https:\/\/secure.gravatar.com\/avatar\/9a8d989fa7e72af5bd5cf487cf7080318b695de4be89de382c5e64305dd0249c?s=480&d=mm&r=g","rc_author_link":"\/us\/en\/blog\/author\/rich-mciver\/amp","rc_post_categories":"<a href=\"\/us\/en\/blog\/category\/trending\/communication-and-collaboration\/amp\">Communication & collaboration<\/a><a href=\"\/us\/en\/blog\/category\/it-leadership\/amp\">, IT leadership<\/a>","amp_link":"\/us\/en\/blog\/3-us-laws-related-to-email-marketing-you-need-to-know\/amp","excerpt_title":"3 US Laws Related to Email Marketing You Need to Know","_links":{"self":[{"href":"https:\/\/newrcblog.wpengine.com\/us\/en\/blog\/wp-json\/wp\/v2\/posts\/37667","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/newrcblog.wpengine.com\/us\/en\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/newrcblog.wpengine.com\/us\/en\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/newrcblog.wpengine.com\/us\/en\/blog\/wp-json\/wp\/v2\/users\/138"}],"replies":[{"embeddable":true,"href":"https:\/\/newrcblog.wpengine.com\/us\/en\/blog\/wp-json\/wp\/v2\/comments?post=37667"}],"version-history":[{"count":0,"href":"https:\/\/newrcblog.wpengine.com\/us\/en\/blog\/wp-json\/wp\/v2\/posts\/37667\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/newrcblog.wpengine.com\/us\/en\/blog\/wp-json\/wp\/v2\/media\/37668"}],"wp:attachment":[{"href":"https:\/\/newrcblog.wpengine.com\/us\/en\/blog\/wp-json\/wp\/v2\/media?parent=37667"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/newrcblog.wpengine.com\/us\/en\/blog\/wp-json\/wp\/v2\/categories?post=37667"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/newrcblog.wpengine.com\/us\/en\/blog\/wp-json\/wp\/v2\/tags?post=37667"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}