Drafting Simple Disclosures

Note: Want to skip the guide and go straight to the free templates? No problem - scroll to the bottom.
Also note: This is not legal advice.

Introduction

Disclosures are an essential part of ensuring that all parties involved in a transaction understand their rights and obligations. Without well-prepared disclosures, businesses and individuals may not be aware of the potential risks and benefits associated with a particular situation, leading to costly disputes down the line. Furthermore, disclosures can help promote fair and transparent transactions by allowing all parties to make informed decisions about their rights and obligations. Finally, they can protect the public from deceptive practices such as false advertising or bait-and-switch schemes.

At Genie AI, we understand that drafting quality disclosures is no simple task - it’s complex work requiring expertise and familiarity with the law. However, anyone can draft high quality legal documents without paying for a lawyer thanks to Genie AI’s expansive dataset of millions of datapoints combined with our community template library. Our aim is to provide individuals and businesses alike with access to reliable resources for composing accurate disclosures - saving time and money in the process!

Follow our step-by-step guidance below for tips on how to draft simple but effective disclosure statements from scratch. Start by identifying what needs to be disclosed - this information should be clear, complete, accurate and relevant enough so that readers will know exactly how they are affected by any agreements or contracts they enter into as a result of reading it. Once you’ve identified what needs to be disclosed, review any existing laws or regulations that might apply in order for these disclosures to be fully compliant with applicable standards. Then review best practices for providing clear formatting for easy readability - an important factor in ensuring readers understand exactly what risks (or benefits) are involved before signing any legal document or entering into an agreement with another party.

Finally, use our free template library today if you need help drafting your own disclosure statement: just select one of our many templates designed specifically for different types of contracts or agreements - including employee handbooks, sales contracts, privacy policies etc – then customize them according to your own specific needs! And remember – even if you don’t have a Genie AI account – we want you to benefit from everything we have built so far; so why not get started right away?

Definitions (feel free to skip)

Disclosure: A statement that provides information about a product or service, usually required by law.
Regulatory Requirements: Rules and standards set by a governing body to ensure proper behavior and safety.
Applicable Laws and Regulations: Laws and regulations specific to a particular industry or type of disclosure.
Industry Standards: Guidelines set by a particular industry for how a product or service should be provided.
Definitions: Explanations of a word or phrase that are used to understand the meaning of something.
Compliance: Following all applicable laws and regulations.
Testing: A process used to check a product or service to make sure it is functioning correctly.
Evaluating: Assessing the effectiveness of something in order to determine the best course of action.
Finalizing: Completing the process of creating something.
Publishing: Making something available to the public.
Data: Information that can be analyzed to gain insight.
Tracking: Monitoring the performance of something over a period of time.
Updating: Making any changes necessary to keep something current.
Documenting: Creating and maintaining records of a process.
Monitoring: Observing and assessing the progress of something.

Contents

• Understanding the Purpose of Disclosures
• Researching the type of disclosure required
• Assessing how the disclosure will be used
• Identifying the Appropriate Regulatory Requirements
• Examining the applicable laws and regulations
• Understanding the definitions of key terms
• Crafting an Effective Disclosure Statement
• Gathering relevant information and data
• Writing out the disclosure statement
• Ensuring Compliance with Disclosure Regulations
• Reviewing the disclosure statement for accuracy and completeness
• Making any necessary changes to ensure compliance
• Testing and Evaluating the Disclosure
• Conducting any necessary tests to ensure accuracy
• Evaluating the effectiveness of the disclosure
• Finalizing and Publishing the Disclosure
• Making any necessary changes to the disclosure statement
• Preparing the disclosure for publication
• Tracking Disclosure Performance
• Collecting and analyzing data related to the disclosure
• Identifying any areas for improvement
• Maintaining and Updating the Disclosure
• Monitoring changes in applicable laws and regulations
• Making necessary updates to the disclosure
• Documenting Disclosure Process
• Creating and maintaining records of the disclosure process
• Ensuring all documentation is up-to-date
• Establishing a Monitoring System
• Developing a system to track the disclosure process
• Setting up procedures for continual review and assessment

Get started

Understanding the Purpose of Disclosures

• Read relevant laws and regulations for the type of disclosure needed
• Research relevant case studies to gain insight into how disclosures have been used in the past
• Consult with legal counsel to understand the purpose of disclosures and the best way to draft them
• When you have an understanding of the purpose of the disclosure and the legal requirements, you can check this step off your list and move on to the next step.

Researching the type of disclosure required

• Research the kind of disclosure that is required for the situation.
• Look into the regulations and laws that are relevant to the disclosure.
• Note down any specific requirements for the disclosure.
• Check with a lawyer or other knowledgeable professional if there is any confusion about the disclosure.
• Once the type of disclosure is determined, you can move on to the next step.

Assessing how the disclosure will be used

• Analyze the purpose and context of the disclosure.
• Determine if the disclosure will be used once or multiple times.
• Think about the audience that will be viewing the disclosure.
• Consider the language that will be used in the disclosure.

You can check this step off your list when you have a clear understanding of the purpose, context, audience, and language of the disclosure.

Identifying the Appropriate Regulatory Requirements

• Review the applicable laws and regulations to identify which ones apply to the disclosure
• Identify any additional requirements that might be needed based on the details of the disclosure
• Determine which federal agencies have jurisdiction over the disclosure
• Gather any technical guidance documents related to the disclosure
• Once you have identified the applicable regulatory requirements, you can move on to the next step.

Examining the applicable laws and regulations

• Review the relevant laws and regulations, such as the Consumer Financial Protection Bureau’s UDAAP, to determine the requirements for disclosure
• Consult with legal counsel if you have any questions or doubts about what you need to include in your disclosure
• When you have identified all of the necessary disclosure requirements, you can move on to the next step.

Understanding the definitions of key terms

• Research the definitions for key terms related to the disclosure statement, such as “affiliate” and “affiliation”
• Read the definitions provided by the applicable laws and regulations
• Make sure you understand the technical terms used in the disclosure statement
• Make sure you are aware of any local, state and federal laws that may apply to the disclosure statement
• When you have a clear understanding of the definitions of the key terms, you can check this step off your list and move on to crafting an effective disclosure statement.

Crafting an Effective Disclosure Statement

• Identify all relevant parties involved in the disclosure
• Determine the purpose of the disclosure
• Outline the information that needs to be included in the disclosure
• Draft the disclosure in a straightforward and easy to understand manner
• Check the disclosure against applicable laws
• Have the disclosure reviewed by a legal professional
• Once the disclosure is complete and has been reviewed, it is ready to be distributed

You will know that you have completed this step once the disclosure is drafted, reviewed and ready to be distributed.

Gathering relevant information and data

• Research applicable state, federal, and international laws
• Collect information on all products and services offered
• Identify any risks or liabilities that may be associated with your products or services
• Research any industry-specific regulations that may apply
• Once you have identified all relevant laws, regulations, and risks, you can move on to the next step.

Writing out the disclosure statement

• Create a draft of the disclosure statement, including all relevant information gathered in the previous step
• Have a subject matter expert review the disclosure statement and make any necessary revisions
• Have an attorney review the disclosure statement and make any necessary revisions
• Once all revisions have been made, have the disclosure statement finalized
• Check off this step when the final version of the disclosure statement is ready to be used

Ensuring Compliance with Disclosure Regulations

• Read applicable regulations related to disclosure and understand the requirements
• Ensure that the disclosure statement covers all relevant topics, including risks, warnings and other information
• Make sure that all legal language and disclaimers are included
• Run a spell check to identify any typos or grammar errors
• Double-check accuracy of all content
• Once you have ensured that the disclosure statement complies with all applicable regulations, you can check this step off your list and move on to the next step.

Reviewing the disclosure statement for accuracy and completeness

• Carefully review each item in the disclosure statement
• Ensure the accuracy of the information presented
• Ensure the completeness of the disclosure statement
• Double check that the disclosure statement is written in simple, clear language
• Make sure that the disclosure statement is complete and meets all applicable disclosure regulations
• Once you are sure that the disclosure statement is accurate, complete, and compliant, you can then move on to the next step.

Making any necessary changes to ensure compliance

• Review the disclosure statement against applicable laws and regulations to ensure compliance
• Check for any errors or omissions that need to be corrected
• Consult with a legal professional if needed to ensure accuracy and compliance
• Make any necessary adjustments and revisions to the disclosure statement
• Test the disclosure statement to make sure it meets legal requirements
• Once all necessary changes have been made and the disclosure statement has been tested and evaluated, you can move on to the next step.

Testing and Evaluating the Disclosure

• Review your disclosure to make sure it is easy to read and understand
• Check to ensure the disclosure is compliant with applicable laws and regulations
• Evaluate the language used to ensure it is plain and clear
• Make sure the disclosure is capable of being understood by the intended audience
• Verify that any necessary information is included in the disclosure
• Test the disclosure to ensure it is accurate and up-to-date
• When you are satisfied that all of the above criteria have been met, you can move on to the next step in the process.

Conducting any necessary tests to ensure accuracy

• Research and review applicable laws, regulations, and guidelines related to the disclosure
• Determine which tests are necessary to ensure accuracy
• Use the necessary tests to ensure accuracy of the disclosure
• Evaluate the results and make adjustments if needed
• When all tests have been completed and the disclosure is accurate, the step is complete and ready for the next step.

Evaluating the effectiveness of the disclosure

• Review the disclosure and assess how clear and concise it is
• Make sure the disclosure is accurate and comprehensive
• Ensure the disclosure is written in plain language that is easily understandable
• Check that the disclosure is written in a way that allows readers to find the information they are looking for quickly
• Test the disclosure with a sample audience to make sure it conveys the correct message
• Once the disclosure has been tested, reviewed, and verified, it is ready to be finalized and published.

Finalizing and Publishing the Disclosure

• Ensure that the disclosure language is finalized and approved by necessary stakeholders.
• Check that the disclosure is compliant with all relevant legislation and regulations.
• Prepare the disclosure for publishing by formatting it for the appropriate medium (e.g. website, print, etc).
• Publish the disclosure.
• Monitor the effectiveness of the disclosure.
• How you’ll know when you can check this off your list and move on to the next step: When the disclosure is published, and the effectiveness has been monitored.

Making any necessary changes to the disclosure statement

• Read through the disclosure statement to identify any areas that need to be modified or updated
• Make any necessary changes to the disclosure statement to ensure accuracy and clarity
• Proofread the disclosure statement to ensure all changes have been made
• Ensure that the disclosure statement adheres to any applicable legal regulations
• When you are confident that all necessary changes have been made and the disclosure statement is accurate and compliant, you can check off this step and move on to preparing the disclosure for publication.

Preparing the disclosure for publication

• Gather all relevant documents and information necessary for the disclosure
• Identify any legal requirements for the disclosure
• Format the disclosure for publication, including font size, style, and layout
• Double check the accuracy of the information included in the disclosure
• Check for any spelling or grammatical errors
• Have the disclosure reviewed by a legal expert
• Publish the disclosure in the appropriate format

You’ll know you can check this off your list and move on to the next step once the disclosure has been reviewed by a legal expert, all errors have been corrected, and the disclosure has been published.

Tracking Disclosure Performance

• Set up a system to track the performance of the disclosure.
• Monitor the disclosure’s performance over time, including when and how often it is accessed.
• Consider setting up automated notifications that alert you when certain metrics have been met.
• Track which changes to the disclosure have had the most success.
• Check the disclosure’s performance against similar disclosures to gain insights into its success.
• Once a tracking system is set up and metrics have been established, you can move on to the next step.

Collecting and analyzing data related to the disclosure

• Review existing disclosure documents to identify any areas for improvement
• Record and track performance on existing disclosures
• Gather feedback from stakeholders on disclosure performance
• Identify areas for improvement or optimization
• Analyze feedback to understand what needs to be improved
• Collect and analyze data related to the disclosure to measure performance
• Measure the effectiveness of current disclosure documents
• Use metrics to track performance over time

Once all data related to the disclosure has been collected and analyzed, you can move on to the next step of identifying any areas for improvement.

Identifying any areas for improvement

• Review existing disclosure for any areas for improvement
• Analyze existing data to identify potential additional information or changes needed in disclosure
• Consult with stakeholders such as legal and compliance teams to ensure accuracy and completeness of disclosure
• Make note of any changes needed to the disclosure
• When all areas for improvement have been identified, you can move on to the next step of maintaining and updating the disclosure.

Maintaining and Updating the Disclosure

• Review your disclosure on an annual basis and make any necessary updates to comply with applicable laws and regulations
• Ensure that any changes made to the disclosure do not cause it to become misleading or inaccurate
• Monitor changes in applicable laws and regulations and update the disclosure accordingly
• Maintain records of all changes to the disclosure for no less than two years
• Once all necessary updates have been made, and the disclosure is in compliance with all applicable laws and regulations, you can move on to the next step.

Monitoring changes in applicable laws and regulations

• Stay up-to-date on changes in relevant laws and regulations in the area of disclosure
• Monitor changes in relevant laws and regulations posted by government agencies and other reliable sources
• Subscribe to newsletters and other electronic alerts that will notify you of updates
• Make a note of any changes to the disclosure that may be needed
• When you are satisfied that you are aware of all relevant changes, you can move on to the next step of making necessary updates to the disclosure.

Making necessary updates to the disclosure

• Review changes in applicable laws and regulations to identify any necessary updates or changes to disclosures
• Ensure that all language used in the disclosure is up to date and legally compliant
• Check the accuracy of all numbers, facts, figures, and other information given in the disclosure
• Compare the disclosure to previous versions to make sure all changes are accurately reflected
• Contact the appropriate individuals to confirm the accuracy of the disclosure
• Once the disclosure is updated and all changes have been reviewed, check this step off the list and move on to the next step.

Documenting Disclosure Process

• Create a written record that documents the disclosure process, including:
• Date of disclosure
• Parties involved
• Content of the disclosure
• Relevant documents associated with the disclosure
• Maintain copies of the disclosure documents
• Make a note of any follow-up communication related to the disclosure
• When the disclosure process is complete, make a record of the date and any other relevant details
• Keep the records of the disclosure process in a secure location
• When all steps are completed, you can check this off your list and move on to the next step

Creating and maintaining records of the disclosure process

• Maintain records of the disclosure process to ensure compliance with relevant laws and regulations.
• Create a filing system for all disclosure documents, including contact information for each person or entity involved in the process.
• Develop a system for tracking and updating disclosure documents as needed.
• Ensure that all documents are consistent and updated in a timely manner.
• Monitor any changes in the disclosure process and update records accordingly.
• When all the necessary documentation is up-to-date and stored in the filing system, this step is complete.

Ensuring all documentation is up-to-date

• Review all relevant legal documents and make sure they are up-to-date
• Consult with legal counsel to ensure accuracy of all documents
• Update any out-of-date documents as needed
• Save updated documents in a secure place
• Once all documents are updated, check off this step and move on to the next step.

Establishing a Monitoring System

• Set up a tracking system that allows you to monitor the disclosure process in real-time
• Establish a timeline for monitoring the process and update it as needed
• Document any changes to the disclosure process and note the reasons for the changes
• Monitor the process and make sure all steps are being followed correctly
• Create reports to track progress and identify any issues that need to be addressed
• When everything is running smoothly, you can move on to the next step.

Developing a system to track the disclosure process

• Determine what information needs to be tracked for the disclosure process (e.g. dates, parties involved, document versions, etc.)
• Set up a tracking system for the disclosure process. This could include creating a spreadsheet or using a software program.
• Ensure that the tracking system is secure, compliant with applicable regulations, and accessible to the necessary stakeholders.
• Test the system to ensure that it’s functioning properly.

Once you’ve developed a tracking system and tested it, you can check this off your list and move on to the next step: setting up procedures for continual review and assessment.

Setting up procedures for continual review and assessment

• Establish a process to continually review and assess the disclosures
• Make sure that the process involves regularly scheduled meetings
• Designate a team or individual to be in charge of the review and assessment
• Develop a set of criteria to judge the disclosures against
• Gather feedback from stakeholders and customers on the disclosures
• Establish a timeline to review and assess the disclosures
• Keep up-to-date records of the review process
• Set up a communication plan to ensure that everyone involved is aware of the review and assessment process
• When the review and assessment process is complete, check it off your list and move on to the next step.

FAQ:

Q: Is there a difference between the UK’s and US’s approach to drafting simple disclosures?

Asked by John on June 4th, 2022.
A: Yes, there can be differences in the approach to drafting simple disclosures between the UK and the US. Generally speaking, the UK tends to view regulatory requirements more holistically, whereas the US takes a more granular approach to drafting disclosure statements. It is important to keep this in mind when creating disclosures for clients based in either country.

Q: What are some of the key considerations when creating a disclosure statement?

Asked by Amaya on March 7th, 2022.
A: There are several key considerations to keep in mind when creating a disclosure statement. It is important to ensure that the statement accurately reflects the scope of the services being provided, as well as any potential risks or conflicts of interest associated with them. Additionally, it is important to consider applicable laws and regulations, as well as any industry standards or best practices that may apply to the situation.

Q: How can I ensure that my disclosure statement will be legally binding?

Asked by Mason on February 28th, 2022.
A: In order for a disclosure statement to be legally binding, it must be properly drafted and signed by both parties involved in the agreement. Additionally, it is important to make sure that any applicable laws or regulations are taken into consideration when drafting the statement. If necessary, it may also be beneficial to consult with a lawyer or other legal professional for additional advice and guidance.

Q: Are there any differences between a disclosure statement for a B2B company and one for a SaaS company?

Asked by Olivia on April 14th, 2022.
A: Yes - disclosure statements for B2B companies and SaaS companies can differ significantly depending on the scope of services being provided by each. For example, SaaS companies will typically need to include additional information regarding data security and privacy compliance in their disclosure statements since they are handling sensitive customer information. Additionally, B2B companies may need to include additional information regarding their terms of service and any applicable warranties or guarantees they offer.

Q: What should I do if I need help understanding how to draft my disclosure statement?

Asked by Noah on May 18th, 2022.
A: If you need help understanding how to draft your disclosure statement, it is recommended that you consult with an experienced attorney who specializes in business law and/or regulatory compliance issues. They will be able to provide you with specific advice tailored to your individual situation as well as help you understand any applicable laws or regulations that may be relevant to your business.

Example dispute

Suing a Company for Unlawful Disclosure of Personal Information

• Plaintiff can reference the Federal Trade Commission Act, the Gramm-Leach-Bliley Act, and various state laws that protect individuals from unlawful disclosure of personal information.
• The suit could be raised if the company has shared the individual’s personal information without their knowledge or consent, or if the company has failed to inform the individual of the risks of providing their personal information.
• Settlements could involve the company providing an apology, paying damages to the individual, or providing additional safeguards to ensure that the individual’s personal information is not shared in the future.
• Damages could be calculated by taking into account any emotional distress or financial losses suffered by the individual as a result of the disclosure.

Templates available (free to use)

Copyright Litigation Initial Disclosures
Defendant S Pretrial Disclosures Likelihood Of Confusion And Dilution Ttab
Email Signature Notices Disclosures And Information Including Opt Out
Hipaa Request For Accounting Of Health Plan Or Provider Disclosures
Initial Disclosures Federal
Initial Disclosures In The Complex Business Litigation Program New Jersey
Initial Disclosures Re Trademarks
Initial Disclosures Ttab
Inter Partes Review Mandatory Initial Disclosures Patent Owner
Letter To 3Rd Party Regarding Disclosures Environmental Information Regulations Rfi
Local Patent Rule Infringement Contentions Disclosures Patent Owner
Local Patent Rule Invalidity Contentions Disclosures Accused Infringer
Plaintiff S Pretrial Disclosures Likelihood Of Confusion And Dilution Ttab
Ttab Reliance On Discovery Responses Or Disclosures Notice

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