Legality of an Electronic Signature

More and more businesses are embracing the use of electronic signatures to sign their documents. This shift minimizes the use of paper, increases efficiency, and effectiveness around the office.

Understanding the legal framework that defines the use of an electronic signature is critical before a business ventures into using such a type of signature. As a result, a company becomes aware of all the terms involved in a digital agreement.

The Legal Reach of an E-signature

The legal framework that defines the legality of an e-signature varies from one country to another. Nonetheless, the use of e-signatures is valid in most countries.

Within America, the use of e-signatures has the same legal status as a physical signature as defined by the Electronics Signatures Global and National Commerce Act (ESIGN) of 2000.

Similarly, other countries and territories around the world have similar acts and laws that govern the use of e-signatures.

Requirements for Use of an E-signature

Within the US, a symbol, a sound, or another electronic process can serve as a legal e-signature. The most important requirement is for the signature holder’s intent to sign a document to be obvious.

It is important to have a legal statement that defines the type of contract and the intent to agree electronically. This process can be reinforced by adding supportive verbal, written documents, or logs, which can be share and store as evidence.

Nonetheless, not all laws around the world require a detailed log attached to a document.

The legality of a PDF Signed Document

It is legal to affix an e-signature to a PDF document. This can be done through platforms like PDFlite.

Documents That Require Physical Signatures

There are a handful of documents that cannot be signed with an e-signature. Rather, a physical signature is required. Such documents include marriage documents, wills, recall notices, and some business agreements.

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