Electronic contracting has become a common way for businesses to negotiate and complete contractual agreements in an increasingly digitised and automated business landscape. As more business interactions take place online and on mobile devices, organisations can often turn to paperless contracting models, although this shift can introduce legal and evidential risks that businesses must manage extremely carefully.\u00a0<\/p>\n\n\n\n
Businesses adopting digital signing tools must understand the legal framework governing electronic signatures and their business implications. The UK eIDAS (electronic identification, authentication and trust services) Regulation works alongside other important legal frameworks that govern the use of electronic signatures and their practical operation.\u00a0<\/p>\n\n\n\n
This article provides a high-level and introductory overview of UK eIDAS in the context of electronic signatures and highlights key legal and practical issues organisations should consider to mitigate risk when using electronic signatures.<\/p>\n\n\n\n
Put simply, UK eIDAS<\/a> sets out rules in respect of electronic signatures, electronic seals, electronic timestamps, electronic registered delivery services, electronic documents and website authentication certificates. In short, UK eIDAS helps confirm that electronic signatures carry legal effect. This law, together with the Electronic Communications Act 2000<\/em> and established contract law principles, essentially enables electronic signatures to create binding agreements when the signatory intends to authenticate the document and any necessary formalities are met.<\/p>\n\n\n\n The Law Commission has stated that individuals can use electronic signatures to execute documents. Organisations can therefore use electronic signatures for many commercial contracts, thereby reducing the administrative burdens associated with paper-based processes.<\/p>\n<\/div>\n\n\n\n An electronic signature is any electronic method a person uses to sign a document<\/a>, where the method is linked to the information being verified. This can include: <\/p>\n\n\n\n UK eIDAS recognises three assurance levels of electronic signatures. <\/p>\n\n\n\n Intention is key here, as an electronic signature takes legal effect only when the signer intends their action to authenticate the document.<\/p>\n\n\n\n\n\n Continue reading this article below the form\n <\/i>\n<\/a>\nUnderstanding Electronic Signatures<\/h2>\n\n\n\n
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