The Complete Guide to CASL-Compliant SMS Marketing in Canada (2026)

Canada’s Anti-Spam Legislation (CASL) is one of the strictest consent-based marketing laws in the world. For Canadian businesses sending SMS campaigns, compliance is not optional — violations can result in fines up to $10 million. This guide covers everything you need to know.

What is CASL?

The Canadian Anti-Spam Legislation (CASL) came into force on July 1, 2014, and is enforced by the Canadian Radio-television and Telecommunications Commission (CRTC), the Competition Bureau, and the Office of the Privacy Commissioner of Canada.

CASL applies to all commercial electronic messages (CEMs) — including SMS, email, and social media messages — sent from or to Canadian recipients. It requires businesses to obtain consent before sending marketing messages, and to provide clear identification and an easy opt-out mechanism in every message.

Does CASL Apply to SMS Marketing?

Yes. CASL applies to any electronic message with a commercial purpose, sent to a device used by a Canadian. This includes:

Bulk SMS marketing campaigns
Promotional text messages
Abandoned cart SMS reminders
Loyalty program notifications
Re-engagement campaigns

Transactional messages (e.g., order confirmations, appointment reminders that contain no marketing) have more flexibility, but still require identification and opt-out capability.

The Three CASL Requirements for SMS

Every commercial SMS sent to a Canadian must include:

Consent — You have either express or implied consent from the recipient
Identification — Your business name and contact information are in the message or easily accessible
Unsubscribe mechanism — A clear and easy way to opt out (e.g., “Reply STOP”)

Express consent means the recipient has explicitly agreed to receive SMS messages from you. This can be:

Written: Checkbox on a signup form, paper form, or app
Oral: Verbal agreement (must be documented with date, time, and method)

The consent request must:

Clearly describe the types of messages they’ll receive
Identify who is seeking consent (your business name)
Not use pre-checked boxes (opt-in must be an active choice)

Express consent has no expiry — it remains valid until the person opts out.

Implied consent exists in specific limited circumstances:

Existing business relationship (purchase): Within 2 years of the last transaction
Existing business relationship (inquiry): Within 6 months of an inquiry or application
Publicly published contact: If a business has published their contact info in a directory or on their website for public contact (subject to restrictions)

Implied consent is temporary. Once the time window expires, you must have obtained express consent or stop sending.

Opt-Out Requirements

Every CASL-compliant SMS must include a functional opt-out mechanism:

Must be free for the recipient to use (no premium charges)
Must be processed within 10 business days
Must result in removal from all commercial messages (unless the person separately consents to other programs)
Must remain functional for at least 60 days after the message is sent

Required Keywords for Canadian SMS

Because Canada is officially bilingual, your SMS platform must recognize and process opt-out keywords in both English and French:

English: STOP, UNSUBSCRIBE, CANCEL, END, QUIT
French: ARRET (Arrêt), DÉSABONNER

TextFlow by TELAIR.NET LTD. automatically processes all these keywords and removes contacts from all active campaigns immediately.

Quiet Hours

While CASL itself does not specify sending hours, CRTC guidelines and telecommunications industry standards recommend sending commercial SMS only during acceptable hours:

Recommended hours: 9:00 AM to 9:00 PM in the recipient’s local time zone
Messages sent outside these hours risk CRTC complaints and carrier throttling

CASL places the burden of proof on the sender. If a recipient complains, you must be able to demonstrate consent. Your records should include:

Date and time consent was obtained
Method of consent (web form, verbal, etc.)
What was consented to (type of messages)
The consent wording shown to the recipient
Opt-out date and method (if applicable)

TextFlow by TELAIR.NET LTD. maintains a complete consent audit trail for every contact, so you’re always prepared for regulatory review.

CASL Penalties

The CRTC can issue Administrative Monetary Penalties (AMPs):

Individuals: Up to $1 million per violation
Businesses: Up to $10 million per violation

The CRTC has issued multi-million dollar fines against major Canadian businesses. CASL enforcement is active and ongoing.

CASL vs. US TCPA and 10DLC

If you send to both Canadian and US recipients, you need to comply with both CASL and US regulations:

CASL (Canada): Express consent, bilingual opt-out, 10-day processing, no expiry on express consent
TCPA (US): Written consent for marketing texts, immediate opt-out processing
10DLC (US): Brand and campaign registration required for all A2P business messaging on 10-digit numbers

TextFlow by TELAIR.NET LTD. handles both CASL compliance for Canadian messages and 10DLC registration for US messaging from the same platform.

Best Practices for CASL-Compliant SMS Campaigns

Always obtain express consent — don’t rely on implied consent for ongoing campaigns
Document everything — keep records of when and how consent was obtained
Use double opt-in for critical lists — send a confirmation text before adding to campaigns
Include your business name in every message
Always include opt-out instructions (e.g., “Reply STOP to unsubscribe”)
Respect quiet hours — 9am to 9pm local time
Honor opt-outs immediately — remove from all campaigns within 10 business days
Use Canadian data residency — store recipient data in Canada for privacy compliance
Support bilingual opt-outs — recognize both English and French keywords
Audit your contact lists regularly — remove implied consent records past their window

Which SMS Platform Should Canadian Businesses Use?

Most US-built SMS platforms (Twilio, SimpleTexting, EZTexting) focus on TCPA/10DLC compliance for the American market. Canadian-specific requirements — bilingual opt-out keywords, CASL consent audit trails, Canadian data residency — are often afterthoughts or missing entirely.

TextFlow by TELAIR.NET LTD. is built specifically for the Canadian market. It includes:

Automatic CASL compliance enforcement
Bilingual opt-out keyword processing (STOP + ARRET)
Consent audit trail for every contact
10-business-day unsubscribe compliance automation
Quiet hours enforcement (9am-9pm local time)
Canadian data residency
10DLC support for US messaging

Learn more about TextFlow or start a free trial with 100 messages included — no credit card required.