Connect with us

Tech

Signatures In The Electronic Age

Moving Past Manual Processing

In June of 2000, the United States congress formalized a method for the speed of business transactions to match the quickening pace of the Internet and the electronic age. The bottleneck had been the need for customers to sign paper documents and then wait for them to be returned. Facsimiles had reached their useful limit, and not everyone had a method to digitize paper documents. The Electronic Signatures in Global and National Commerce Act (e-Sign Act), recognized that electronic signatures are every bit as valid and binding as a wet ink signature. Electronic Data Exchange (EDI) had been a growing part of business for years. However, as faxes and telephones lines were gradually being replaced with faster networks and the beginning of the increasing availability of broadband, meant that both consumers and businesses needed a better and more efficient way to conduct business. Enabling people and businesses to confirm their agreement with the terms and conditions of a particular transaction, purchase, sale, or the entry into a credit arrangement meant that the real power of the Internet could be realized and the age of real e-commerce began.

Important Disclosures and Regulations

In order for consumers to enjoy the same protections with digital signatures as they have with paper agreements, important regulations were put in place and these terms are required to be made clear to consumers. These rights include, but are not limited to: the right to have paper copies of the documents they are signing made available to them, the right to have all the terms of their electronic consent made available as well as the method for them to revoke—if possible—such electronic consent, and the consequences or fees associated with doing so.

Signatures In The Electronic Age

Requirements

The law also requires that the consumer have a combination of hardware and software available to them that enables them to reasonably view, sign, and save the documents and information pertaining to the transaction or contract being signed. The e-Sign Act also places requirements upon the bank or business accepting the e-signature, such as the retaining a copy of the signature and appropriate meta-data that was captured at the time that the signature was made.

Front Runners

Utah was the first state to meet the growing need for an electronic alternative to traditional processing and had enacted the first electronic signature verification law in 1994. Other states began drafting their own versions of the law, some adopted the Utah method directly, and others went with the method neutral Uniform Commercial Code that dropped terms like writing in favor of authenticated records. Typically, when states have conflicting and contradicting versions of laws and regulations it becomes complicated and cumbersome for business and their customers to conduct transactions compliantly. These front running versions of e-Sign no doubt spurred the federal government to hasten along the enactment of an over-arching law that would bring a single set of rules to the table and allow businesses to understand exactly what they needed to do in order to obtain electronic consent from their customers.

Exclusions

Generally, financial matters are those that are most likely to move over to electronic signatures. People want to obtain credit and complete transactions quickly and efficiently. Other areas, such as healthcare and attorney representation are less appropriate for e-signatures. New York State’s Electronic Records and Signature Act (ERSA) is a good codified example of legally recognizing these exceptions. The law expressly excludes certain documents and domains from utilizing electronic record execution that include: wills and trusts, health care proxies, powers of attorney, and orders to not perform heroic life sustaining and resuscitation efforts in terminal cases. The net effect of accepting electronic signatures is that in many ways paper signatures seem to have more weight now than they once did, and that for the most important matters in life people still want to agree to things on paper with ink. The balance that is now in place between electronic and ink signatures correctly allows business to be speedily conducted electronically and requires that the important matters of heath and trust be completed the old fashioned way.

Continue Reading
Click to comment

Leave a Reply

Your email address will not be published. Required fields are marked *

Recent Posts

Should You Buy Real Estate At The End Of 2020 Should You Buy Real Estate At The End Of 2020
Investments3 days ago

Should You Buy Real Estate At The End Of 2020

Experts analyzed the prospects and possible scenarios for the development of events. Residents of the US are warned about the...

How To Be A Confident Person How To Be A Confident Person
Life Hacks5 days ago

How To Be A Confident Person

Attractive, confident, funny, charismatic. These are some characteristics that define an alpha individual. While we all know what the goal...

Why Do Cats Get Diarrhea? Why Do Cats Get Diarrhea?
Pets1 week ago

Why Do Cats Get Diarrhea?

If you’re a pet owner, then you’ll know that one of the most common problems you need to deal with...

Common Reasons For Visiting An Orthopaedic Surgeon Common Reasons For Visiting An Orthopaedic Surgeon
Health2 weeks ago

Common Reasons For Visiting An Orthopaedic Surgeon

Have you suffered regular knee or back pain? Do you feel tired or stiff for a long time after resting...

Best Wholesale Beauty Product Suppliers In 2020 Best Wholesale Beauty Product Suppliers In 2020
Business2 weeks ago

Best Wholesale Beauty Product Suppliers In 2020

Beauty products include a range of goods that are used to care and enhance the appearance of your face, hair,...

Big Things A Digital Marketing Business Conducts Big Things A Digital Marketing Business Conducts
Tech2 weeks ago

Big Things A Digital Marketing Business Conducts

The customary word “ad” is defined as a communication procedure between the group of onlookers and the imminent business moving...

International Shipping In A Global Pandemic International Shipping In A Global Pandemic
Business2 weeks ago

International Shipping In A Global Pandemic

The Covid-19 pandemic completely turned the world on its head, in more ways than one. Beyond the devastating medical challenges,...

8 Ways To Reduce Stoke Risk 8 Ways To Reduce Stoke Risk
Health2 weeks ago

8 Ways To Reduce Stoke Risk

Stroke is the fifth leading cause of death in the United States. To help you understand how severe and common...

Top Whey Protein Recipes To Lose Your Body Fat Top Whey Protein Recipes To Lose Your Body Fat
Lifestyle3 weeks ago

Top Whey Protein Recipes To Lose Your Body Fat

Losing weight and keeping the kilos off is not an easy thing to do. Everything from what you consume to...

5 Amazing SEO Tools to Spy On Your Competitor's Website 5 Amazing SEO Tools to Spy On Your Competitor's Website
Tech3 weeks ago

5 Amazing SEO Tools to Spy On Your Competitor’s Website

So, you’re running an online business, and you surely want your business to get the best results. But, there are...

Keep .eu Domain After Brexit Keep .eu Domain After Brexit
Tech4 weeks ago

Keep .eu Domain After Brexit

Domains are becoming as essential as someone’s own home in the world of internet. Internet users are always looking for...

How To Use Apple Cider Vinegar With Mother To Maximize The Health Benefits How To Use Apple Cider Vinegar With Mother To Maximize The Health Benefits
Lifestyle1 month ago

How To Use Apple Cider Vinegar With Mother To Maximize The Health Benefits

Apple cider vinegar is used in many different household chores like floor washing, cleaning, doing dishes, vegetables and fruits washing,...

8 Tips from Dermatologists For Gorgeous Skin 8 Tips from Dermatologists For Gorgeous Skin
Health1 month ago

8 Tips from Dermatologists For Gorgeous Skin

We all wish of a flawless and glowing skin, but it’s not always easy to figure out the skin care...

Uterine Fibroids: What Are Its Causes, Symptoms, and Treatments? Uterine Fibroids: What Are Its Causes, Symptoms, and Treatments?
Health1 month ago

Uterine Fibroids: What Are Its Causes, Symptoms, and Treatments?

Uterine Fibroids are non-cancerous tumors that develops in a woman’s uterus. They are also called leiomyomas or myomas and appear...

Electric Stove or Gas Stove? Which One is Better? Electric Stove or Gas Stove? Which One is Better?
Home Improvement1 month ago

Electric Stove or Gas Stove? Which One is Better?

While remodeling your kitchen to include some kitchen essentials or buying a whole new house, you might be comparing electric...

Categories

Archives

Trending