1. Accounting: Statutory or good faith revelation of a material fact (or an item of information that is not generally known) on a financial statement or in the accompanying notes (footnotes).
2. Auditing: Compulsory reporting of all positive and negative information about the audited firm in an audit report. Its objective is to enable creditors and investors to draw an informed conclusion about the firm's financial position.
3. Banking: Statutory statement of complete information about a consumer or home mortgage loan. It is required to contain certain items of information such as (1) actual interest rate, (2) its computation, (3) itemized total of all charges and fees, and (4) minimum monthly payment.
4. Insurance: Statutory revelation by the applicant (in the application for an insurance policy) of all known information about the risk to be covered.
5. Litigation: See discovery.
6. Securities issue: Statement of all known risk factors associated with a bond or stock investment, published as a disclosure document by the issuer of the security.
Use 'disclosure' in a Sentence
We learned our new home was infested with termites the day we closed when our real estate agent informed us she had failed to show us the seller's disclosure form.
She wanted to give the judge full disclosure, so she told him it wouldn't be a good idea for her to be on the jury because the defendant was a friend of hers.
When opening a new bank account, it's important that the bank gives you full disclosure about any fees and interest rates so that you are not surprised.
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