Federal Trade Commission Chairman Deborah Platt Majoras was recently interviewed about cybercrime and other Internet legal issues. The full interview is worth reading.
However, what struck me was her comments on what is a common practice…attempting to hide disclosures.
“One of the things that has always been the case, though, is that buried disclosures have never worked and have never been adequate. So if you are burying an important disclosure that’s going to make a difference to a consumer, then there’s a real question about whether that’s a true disclosure.”
What many businesses don’t recognize is that emphasizing an unfavorable disclosure can be beneficial.
Here’s why.
The prospect who actually reads disclosures (most don’t) will be favorably impressed with candor. If you’re burying the truth about one aspect of your product or service, people will wonder what else you’re hiding and assume the worst. This is also the type of behavior that the Federal Trade Commission doesn’t like.
Hat tip to PCWorld.com
Update: The Federal Trade Commission issued new guidelines about disclosures that went into effect December 1, 2009. Click the following link to get my free special report (PDF file) on how to comply with the new Federal Trade Commission guidelines.
