What is the potential consequence of unauthorized disclosure of confidential information?

Unauthorized disclosure of confidential information can lead to serious repercussions, which is why civil and criminal penalties are the correct answer. When sensitive data, such as personal health information or educational records, is disclosed without proper authorization, it can violate laws such as HIPAA or FERPA. These laws are designed to protect individuals' privacy rights and safeguard their personal information.

Consequences of such unauthorized disclosures may include civil liability, where individuals or organizations can face lawsuits and be required to pay damages for the breach. Additionally, criminal penalties can be imposed, such as fines or imprisonment, depending on the severity of the violation. These penalties serve as deterrents to ensure that individuals and organizations adhere to the regulations in place to protect confidential information.

In contrast, the other options present outcomes that do not accurately reflect the seriousness of such violations. Improved trust or increased transparency are unlikely outcomes following a breach of confidentiality—rather, they would typically lead to a loss of trust among individuals and organizations. The notion that there would be no significant impact is misleading, as unauthorized disclosures can have profound negative consequences not only for individuals whose data is compromised but also for the organizations involved. Therefore, the acknowledgment of potential civil and criminal penalties underscores the importance of maintaining confidentiality and adhering to privacy laws.