There are three things that impact the text component editor Contents visibility:
Clear Type Text setting, font used and background color.
As you already noted, when using AutoCAD native fonts, turning Clear Type Test OFF helps.
This is not very convenient.
As @wfberry mentioned, selecting the text helps as well.

The background color of the Tab (Model, layout, etc.) that is current when you invoke the label editor determines the background the preview and contents screen background. I find light backgrounds work best.

As @rkmcswain notes, Visibilty of Truetype fonts seems to be better. The impact of clear type is minimal. ( Tip #3)

Depending on the text color, a light background may be useful with Truetype fonts.

Tips:
- Visibility is best when Clear Type Text is on. If you are using multiple monitors, each monitor has its own Clear Type Text settings. Use Outlook on a monitor with Clear Type ON, and the label style composer on a monitor with Clear Type OFF.
- Light background colors are better for visibility. Background in the label style composer math teh background color of the current tab.
- Truetype fonts have better visibility. (I do not see a significant difference with Clear Type on)
If you know the text style your label is using, you can temporarily redefine the text style to use a truetype font before editing your label styles, edit and test the label styles, then redefine the text style to use the original font.
I admit that these are just workarounds. It is what it is.
This is annoying, but it is very unlikely to become a priority to the Civil 3D Team:
In my opinion, the Civil 3D team sees the label style composer as a customization tool used in preparing to be productive with Civil 3D. Ideally label style should be created, early on, used for design and rarely augmented or maintained. Thus fit and finish of customization tool is low priority. I can envision this ideal, but reality is not ideal.
Background information: My understanding is that when Autodesk was developing the MTEXT EDITOR, it was decided to use only Truetype fonts to achieve a WYSIWYG editor. This necessitated creation of Truetype versions of the native fonts to be used only in the Mtext editor. Since this was just a transient use, the quality did not need to be very good. The line width is very narrow and thus not very readable in the label style composer. Clear Type makes it worse.
Christopher Stevens
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