When must disclosures regarding irrevocable contracts be made?

The requirement for disclosures regarding irrevocable contracts to be made on the contract itself in bold face type is grounded in the need for transparency and consumer protection. This ensures that consumers are fully aware of the nature of an irrevocable contract, which typically means that once the agreement is made, it cannot be altered or canceled without significant penalties. By mandating that these disclosures be prominently displayed in bold, the law emphasizes the importance of making such critical information easily noticeable and not buried within fine print. This approach helps consumers make informed decisions about their contractual obligations and protects them from potential misunderstandings about the binding nature of the agreement.

Making disclosures in writing at the first meeting, after payment is received, or at the end of the service does not provide the same level of clarity and immediacy that consumers require when entering into legally binding agreements. Hence, the requirement for bold face type on the contract itself is the most effective method of ensuring that individuals are fully aware of their commitments.