For Budget print advertisements, what characteristics must a disclosure have to be considered 'clear and conspicuous'?
Budget Franchise · 2025 FDDAnswer from 2025 FDD Document
For purposes of this order, the following definitions shall apply:
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- "Clearly and conspicuously" shall mean as follows:
- b. In a print advertisement, promotional material (including, but not limited to counter signs), or instructional manual, the disclosure shall be in a type size and location sufficiently noticeable for an ordinary consumer to read and comprehend it, in print that contrasts with the background against which it appears.
The disclosure shall be in understandable language and syntax. Nothing contrary to, inconsistent with, or in mitigation of the disclosure shall e used in any advertisement or promotional material.
Source: Item 23 — RECEIPTS (FDD pages 80–426)
What This Means (2025 FDD)
According to Budget's 2025 Franchise Disclosure Document, a 'clear and conspicuous' disclosure in a print advertisement, promotional material, or instructional manual must meet specific criteria to ensure it is easily understood by the average consumer. The disclosure needs to be in a type size and location that is sufficiently noticeable for an ordinary consumer to read and comprehend. Furthermore, the print must contrast with the background against which it appears, making it stand out and easily readable.
In addition to the physical appearance of the disclosure, the language and syntax used must be understandable. This means avoiding jargon or overly complex phrasing that could confuse the reader. The disclosure should be written in a way that is easy to grasp for someone without specialized knowledge of the subject matter.
Finally, the disclosure must not be undermined by any contradictory or mitigating information in the advertisement or promotional material. The information presented should be consistent and not detract from the clarity and directness of the disclosure. This ensures that consumers receive a clear and unambiguous message, allowing them to make informed decisions.