Compliance Guide for the CAN-SPAM Act: Everything Businesses Need to Know
ON THIS PAGE
- What Is the CAN‑SPAM Act?
- Who Must Comply With the CAN-SPAM Act?
- CAN-SPAM Compliance Requirements
- Common CAN-SPAM Violations and How to Avoid Them
- The CAN-SPAM Requirements For Sexually Explicit Emails
- Penalties for CAN-SPAM Non-Compliance
- How CAN-SPAM Differs from GDPR and Other Global Privacy Laws
- CAN-SPAM Compliance Checklist for Businesses in 2025
- Conclusion
- Frequently Asked Questions
The Controlling the Assault of Non-Solicited Pornography and Marketing Act (CAN-SPAM Act) is the United States’ federal law governing commercial email.
In the early 2000s, businesses were spending a lot of time dealing with spam, making up nearly half of all inbox traffic in the U.S. This was annoying people, wasting time and money. The USA passed the CAN-SPAM Act in 2003 to prevent deceptive practices and give individuals greater control over their privacy and inboxes.
Even though the law is more than two decades old, its principles are still relevant. This anti-spam law is still enforced by the Federal Trade Commission (FTC), with penalties adjusted annually for inflation. For businesses, understanding the CAN-SPAM Act is essential to ensure email compliance, avoid hefty fines, and maintain user trust.
This guide explains what CAN-SPAM compliance means in 2025, what has changed recently, and how to make sure your email marketing practices are compliant with the Act.
What Is the CAN‑SPAM Act?
The CAN‑SPAM Act is a U.S. federal law that sets nationwide standards for sending commercial electronic mail. Its primary goal is to reduce unsolicited commercial email and unsolicited pornography in email communications while still allowing legitimate businesses to reach customers.
The Act was designed to give recipients the right to opt out of future marketing emails. Its core purpose is to protect user privacy online and promote transparency in email marketing while also enabling businesses to reach their audiences legally.
The CAN-SPAM Act protects consumers from misleading information and intrusive content by setting out clear standards for email marketers: clear identification, honest subject lines, an easy way to opt out of messages, and prompt handling of unsubscribe requests.
Effective date: January 1, 2004.
The CAN‑SPAM Act is enforced by the Federal Trade Commission (FTC). Violations can lead to huge penalties.
Who Must Comply With the CAN-SPAM Act?
A common misconception is that CAN-SPAM only applies only to traditional bulk email. However, it has a broader scope.
The law applies to all commercial electronic mail messages sent to recipients within the United States, including:
- Newsletters promoting a product or service.
- Transactional emails that include marketing messages and promotions.
- Cold outreach emails.
- Automated drip campaigns.
- Affiliate or partner-driven promotional messages.
The sender doesn’t need to be physically located in the U.S. If an entity sends marketing content to individuals in America, the law applies.
In conclusion, the CAN-SPAM Act applies to any business, startup or SME, nonprofit organization, agency, SaaS tool, or even a solo freelancer sending commercial messages to U.S. recipients.
CAN-SPAM exceptions
The CAN-SPAM rules regulate commercial emails. CAN-SPAM defines commercial emails as any electronic mail message where primary function is the commercial advertisement or promotion of a commercial product or service.
Transactional emails are excluded from the law. CAN-SPAM defines transactional emails as those that contain only transactional content, such as order confirmations, delivery details, warranty information, or account updates.
If an email contains both transactional and commercial content, its type depends on its primary purpose. If businesses want such emails to be considered as transactional emails, they should put transactional content at the beginning and avoid giving the impression of a promotion.
If an email mixes promotional content with transactional, the email classification depends on the prominence of the promotional material. If the promotional material is listed in the subject line, is presented at the start of the email, and the emphasis is made on promotional content (through layout or design), such a message will be considered as having promotional content. CAN-SPAM regulates messages with promotional content. To treat email messages as transactional, businesses should place transactional content at the beginning of each message.
Even if a recipient has opted out of commercial messages, businesses can send messages with transactional content.
CAN-SPAM Compliance Requirements
The core rules of CAN-SPAM are quite simple, straightforward, and should be implemented by all businesses sending commercial notifications.
The FTC sets eight core requirements to keep marketing emails compliant with the CAN-SPAM Act:
- Header information
The “From,” “To,” and “Reply‑to” must accurately identify your real identity. Avoid using false or misleading header information, misleading names, or spoofed addresses. - Subject line
Write honest subject lines. Don’t use deceptive subject lines. Subject lines must match the content. - Clearly identify the message as an advertisement
If the message contains an advertisement, identify the message as an advertisement. You have flexibility in how to disclose that the message is an ad, you don’t need to write “ADVERTISING MESSAGE”, but the disclosure must be clear and visible. - Include a valid physical postal address
Provide a valid physical postal address, including a physical street address, P.O. Box or private mailbox registered with the USPS. Virtual mailboxes are generally acceptable as long as they represent a real, physical mailing location. - Provide a transparent opt-out mechanism
Give recipients a clear way to opt out of advertisements. The message must explain how recipients can easily opt out of future marketing emails. Most businesses use an unsubscribe link, but any other method is allowed. Opt‑out menus for particular categories are allowed, but the unsubscribe link must include a choice to stop all marketing messages. It is not allowed to ask the recipient to pay a fee or provide Personal Information beyond their email address to opt out. - Honor opt‑out requests promptly
Businesses have 10 business days to process opt-outs. After 10 days, you cannot send marketing messages to opted-out individuals again. Once someone opts out, you are not allowed to sell or share their email address, except to a service provider on your behalf to comply with the law. Honor opt‑out requests for at least 30 days after the email is sent. - Subscribers and members
Subscribers and members also have the right to opt out of marketing emails, regardless of their membership status. - Monitor third-party providers
If you hire an agency, CRM, or affiliate to send emails on your behalf, you’re still legally responsible for their messaging campaigns. You must set clear rules for third-party providers and monitor them. Both your company and the third-party provider may be held liable.
Common CAN-SPAM Violations and How to Avoid Them
Even well-meaning marketing teams can unintentionally make mistakes that may lead to violations. The most common issues include:
- Over-promising in subject lines
Marketers love creative hooks. However, misleading and over-promising subject lines may trigger user complaints.
Keep subject lines straightforward and honest. - Hidden or broken unsubscribe links
A hidden, tiny, or dysfunctional opt-out link is one of the fastest ways to violate the law.
Place your unsubscribe option in a visible place and make sure it’s working. - Outdated postal addresses
Another common mistake is forgetting to update the postal address. When a company moves offices, you must provide a new address on your message.
Make sure your postal address is up to date. - Continuing to email unsubscribed users
This is a serious violation that may lead to serious penalties. Note that this often happens unintentionally, when two separate systems are sending messages and syncing imperfectly.
Make sure your communication systems are syncing well and run regular audits. - Affiliate partners do not comply
Affiliates may use aggressive tactics without your knowledge that violate CAN-SPAM. In this scenario, you will be responsible as well.
Set clear rules for third-party providers, monitor traffic sources, and remove non-compliant partners quickly.
The CAN-SPAM Requirements For Sexually Explicit Emails
The Controlling the Assault of Non-Solicited Pornography and Marketing Act also regulates pornography, setting stricter standards for emails that contain sexually explicit material.
These are the requirements for messages with sexually orientated material:
- Requirements for subject lines
Subject lines of messages with sexually orientated material must have the topic “SEXUALLY-EXPLICIT” in their subject lines. - Warning requirements
Such messages must contain warning requirements, the sender’s physical mailing address, and clear opt-out instructions. When opened, the user should see the basic compliance information and opt-out instructions. - No accident disclosure
Sexually explicit images or graphics cannot appear in the initial view of the email. If recipients receive or open messages by accident, they should not be confronted with explicit content in the initial view and have the chance to decide whether to continue viewing.
If a person has already given explicit consent to receive sexually oriented emails from a sender, the above requirements do not apply. However, general CAN-SPAM rules are still active, thus senders must still include accurate headers and subject lines, have unsubscribe links, and honor unsubscribe requests promptly.
Penalties for CAN-SPAM Non-Compliance
The Federal Trade Commission (FTC) actively enforces CAN-SPAM by imposing strict penalties.
Non-compliance with the CAN-SPAM Act could lead to the following penalties:
- Up to $51,744 per violating email (2025 adjusted amount).
- Liability for both the sender and any third party.
- Potential criminal penalties for aggravated offenses.
Each separate email that violates the law is subject to civil penalties. There is no maximum limit on the total fine.
Note that non-compliance with the Act could also result in criminal penalties, including imprisonment, for aggravated violations such as accessing other people’s computers to send spam, using false information to register multiple email accounts or domain names, harvesting emails via online attacks, or generating fake accounts.
There have been many enforcement actions over twenty years. Most involve large senders or companies using aggressive tactics. However, smaller businesses aren’t protected if they violate the Act. Deceptive practice or negligent behavior may lead to investigations.
How CAN-SPAM Differs from GDPR and Other Global Privacy Laws
CAN-SPAM and other global privacy laws like GDPR or CCPA are designed to protect individuals’ privacy online. However, there are meaningful differences between these laws:
- CAN-SPAM is an opt-out law
CAN-SPAM allows businesses to use an opt-out mechanism, meaning that they can send commercial emails without consent until recipients unsubscribe from these emails. Europe’s GDPR, Canada’s PIPEDA, and other privacy regulations use as opt-in mechanism, requiring to obtain explicit consent to collect personal data prior to any data processing. - CAN-SPAM doesn’t require consent logs
GDPR requires to record and store consent that must be provided during audits. CAN-SPAM doesn’t require store consent logs as evidence of permission. - Different definitions of personal data
GDPR treats email addresses as personal data and thus sets strict processing requirements for them. CAN-SPAM doesn’t regulate the collection or sharing of email addresses or other data linked to individuals. It solely regulates email content, requiring transparency and cease sending unsolicited messages. - CAN-SPAM is more general
Compared to GDPR, CAN-SPAM is less prescriptive, providing just general guidelines and leaving more room for interpretation. This flexibility could be a benefit, but it also increases the risk of non-compliance. - Penalties for non-compliance
GDPR fines are heavier. They are based on global revenue of a company and can easily reach millions. CAN-SPAM penalties are set per email and per violation. They are still serious, but typically less catastrophic.
CAN-SPAM Compliance Checklist for Businesses in 2025
Use this simple and practical checklist for CAN-SPAM compliance in 2025 and 2026:
- Subject lines reflect the actual content of the email.
- “From” name and email address represent your organization.
- The email clearly indicates it contains an advertisement.
- Footer includes a working and up-to-date physical postal address.
- Unsubscribe link is easy to find and functional.
- Third-party parties and affiliates comply with CAN-SPAM.
- All opt-out requests are processed within 10 business days.
- All opt-out requests are automatically synced across platforms.
- Perform periodical audits to review content and ensure transparency.
Conclusion
Even if the CAN-SPAM Act was enacted twenty years ago, it is active today and remains a crucial legislation for reducing spam and unsolicited pornography in email messages. By setting clear rules for businesses, it protects recipients from unsolicited emails and promotes ethical email marketing.
Key requirements of CAN-SPAM include providing a clear business identity at the message header and honest subject lines, identifying the message as an advertisement, and providing and honoring transparent opt-out mechanisms. Businesses must also include a valid physical postal address in their communications and monitor third-party providers for compliance.
As good practice, businesses must provide and honor transparent opt-out mechanisms or obtain consent for communications.
Complying with the CAN-SPAM Act is a mandatory legal obligation. By following its requirements, businesses can avoid penalties for non-compliance, prevent spam and unsolicited content, and strengthen customer trust by improving email marketing quality.
Use a Consent Management Platform (CMP) like CookieScript to provide cookie notices, obtain user consent, and comply with the CAN-SPAM Act.
In Spring 2025, CookieScript received its fourth consecutive G2 badge as the Best Consent Management Platform.
The platform is also recognized as a Google-certified CMP in the Gold tier, highlighting its compliance with privacy and the latest consent management requirements.
CookieScript CMP delivers the right balance of compliance, affordability, and ease of use. You’ll get a fully compliant consent management tool for as little as €8 per month/ per domain for basic features or €19 per month/ per domain for full compliance.
Frequently Asked Questions
Is the CAN‑SPAM Act still in effect?
Yes. The law took effect in 2004 and remains in effect. The Federal Trade Commission (enforcement agency) periodically adjusts penalty amounts for inflation.
Does the CAN-SPAM Act apply to B2B emails?
Yes. Any message promoting a product or service is subject to CAN-SPAM, including messages sent to another business.
Do I need permission to send an email to someone?
No. CAN-SPAM is an opt-out law, meaning that it allows sending commercial emails without permission until recipients unsubscribe. However, you must provide a method to opt out of emails and comply with other requirements.
Can I send emails again after the receivers unsubscribe?
No. Once someone opts out, you are not allowed to send emails repeatedly unless the recipient opts back in.
What are commercial emails?
CAN-SPAM defines commercial emails as any electronic mail message whose primary function is the commercial advertisement or promotion of a commercial product or service.