Nofollow tags
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I'm confused about what you are disagreeing with me about... there is the meta NOFOLLOW tag that is placed at the page level and the more granular rel=nofollow attribute at the link level. They are not interchangeable but simply give more macro or micro control over links on a page. If you read my answer carefully you will see that we are in complete agreement over link decay using the rel=nofollow attribute on individual links.
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Anthony, I never said I disagree with you. I did not see your answer at first, I must have opened the thread before you posted your answer. reading your answer now yes, we are in agreement.
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Haha! For some reason I didn't see the other post... thought I was the only responder.

Be well!
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You are "over my head" lol.
So for sitewide contact, privacy, etc...what is the best thing to do?
Thanks!
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"They changed this (I think in 2009) to : If you had 10 links on a page and 5 were nofollowed each link would still only pass on 1 PR point. The remaining 5 points essentially disappear into thin air."
R u 100% sure about this? any sources to back this up?
Thanks
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Yes - follow the link in my expanded answer above... the ink points to Matt Cutts original article from February 2009 explaining how/when/why the change was made.
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simply exclude or 'disallow' the file path in the Robots.txt. Then place NOINDEX, NOFOLLOW meta tag on those pages (in the HTML head before the body). If you have important links on those pages then use the meta tag NOINDEX, FOLLOW. I hope this helps... please ask for clarification if you need.
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what if you can't place noindex into the html head (limitation of the cms) would a exclude in the robots be enough on its own? (or at least better than nofollow links to the page)
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unfortunately, if you can't place a NOINDEX meta tag due to limitations of the CMS then you probably won't be able to place a rel=nofollow either... leaving you with a disallow in your robots.txt.
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What about 12 outbound links to external client sites not related to your service.