I put up fences for about 3 years, it was common knowledge to put the good side of the fence facing out. If the owner wanted the good side facing in, he was told some towns require you have the good side facing out. If he still wanted, we put it up his way(we never turn away money). I was told many towns have such an ordinance. Here are two I have heard. 1.) If someone climbs the backing rails of a picket fence you installed and gets hurt on your property, you might be liable. 2.) Pools, you cannot reverse the fence with a pool, liable. This is just what I was told, I have never been in the situation, so I could not say this is true.
On top of making it easy to climb the fence and get into your yard, it was viewed as rude to reverse a fence. Neighbors not getting to know each other? Well, reversing a fence on them isn't very neighborly. Run a beautiful cedar fence down the side of his yard, and he will say how beautiful the fence is and thank you for upping the value of his property(as well as yours). You will have to install a gate to get to all of the BBQ's he invites you to.
But hey, your money, do what you want. But I would check for any laws and check with your insurance co. first.
As mentioned, a box fence(two good sides) is a good way to go if you still want the good side(if you can't have the good side). It's extra money, but if you are like this guy and spending 10,000 for a fence, an extra 600- 1,000 might be worth it.
