CAN-SPAM: the short guide to business email rules
Marketing email has to be honest about who sent it and easy to stop. Here is the plain-English version of the federal rules, with the clocks and the $53,088 penalty limit.
Prepared by Prem Tax and Accounting Corp. Last checked against official sources on October 29, 2026.
The CAN-SPAM Act is the federal law for commercial email, enforced mainly by the Federal Trade Commission (FTC). If you email anyone to promote your business, it applies. We boil it down to the Envelope-and-Exit Pass. Official text: 15 U.S.C. 7701 to 7713 and 16 CFR Part 316.
- It covers email whose main purpose is to promote a product, service or website, business-to-business included.
- No advance permission is needed. Honest headers, a postal address and a working opt-out are.
- Opt-outs are honored within 10 business days, and the opt-out method works for at least 30 days after sending.
- The FTC can seek up to $53,088 per separate email in 2026.
Who it covers
| Message | Covered? | Note |
|---|---|---|
| Commercial email | Yes, every rule | No business-to-business exception |
| Receipts, warranty and account notices | Partly | Headers must still be truthful |
| Mixed content | Counts as commercial | If the subject reads as an ad, or the notice part is not mainly at the start |
The numbers
| Item | Amount or date | Year |
|---|---|---|
| FTC civil penalty | Up to $53,088 per separate email | 2026 |
| Honor an opt-out | Within 10 business days | 2026 |
| Opt-out method works | At least 30 days after sending | 2026 |
| CAN-SPAM Rule review | Kept unchanged April 4, 2019 | 2019 |
Source: 15 U.S.C. 7706 and 16 CFR 1.98
Our checklist
We call it the Envelope-and-Exit Pass.
- Envelope: From, To and Reply-To name the real sender; the subject matches the message.
- Envelope: an ad label (unless the person agreed to get it) and a valid postal address.
- Exit: a plain opt-out notice with a working reply address or web page, live at least 30 days after sending.
- Exit: requests honored within 10 business days, no fee, nothing extra asked.
Mistakes people make
- Reading "30 days" as the time to process an unsubscribe. The sending deadline is 10 business days.
- Putting a promotion in a receipt's subject line, which can make the whole message commercial.
- Assuming a vendor or lead generator takes on your risk.
When to call an attorney: an FTC, state attorney general or internet provider inquiry arrives, an email list was bought or scraped, or a campaign reaches countries with other consent rules. A CPA cannot advise on those.
Common questions
Do I need permission before I email someone?
Not in advance, because CAN-SPAM is an opt-out law. Consent only removes the ad label. Canada's anti-spam law requires consent first.
Does it cover business-to-business email and newsletters?
Yes. There is no business-to-business exception, and a newsletter that mainly promotes your services counts as commercial. See also the [FTC Act](/small-business-laws/federal/ftc-act/).
What counts as a valid postal address?
A current street address, a post office box registered with the U.S. Postal Service, or a private mailbox registered with a commercial mail receiving agency, as the CAN-SPAM Rule defines them.
Official sources
- FTC: CAN-SPAM Act, a compliance guide for business
- eCFR: 16 CFR Part 316, the CAN-SPAM Rule
- eCFR: 16 CFR 1.98, civil penalty amounts
- Federal Register: FTC civil penalty amounts for 2026
- Federal Register: CAN-SPAM Rule review, 2019
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