The phrase often depicts the difference between reputation and true nature, similar to judging a book by its cover. Despite the rumors about the new teacher, she's not as black as she's painted.
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Positive Revelation
It's used when someone turns out to be better than expected, revealing a positive side. The villagers feared the outsider, but he wasn't as black as he was painted.
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Idiomatic Context
Understand it's a set expression, used figuratively, and not related to actual color. My brother warned me about his friend, but he isn't as black as he is painted.