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Every contract you sign requires a signature to ensure that the contract is valid. Although, some contracts have additional requirements depending on the agreement you are signing. Further, you should be aware of and comply with any requirements to ensure you create a valid contract protected and enforced by law. This article will explore the types of contracts that require a witness, who can be a witness and how they can witness your signature.
What Types of Commercial Agreements Require a Witness?
Not all commercial contracts require the witnessing of your signature. For example, a purchase order for a printer does not require anyone to witness your signature.
However, certain documents require signing as a ‘Deed’. This usually applies to important business documents and means the document requires certain formalities to be valid. For example, if you intend to sign a deed as the sole director of your organisation, another individual must witness your signature. The formality applies whether you sign the document in person or through an electronic signature (known as electronic execution).
Personal Legal Documents That Require a Witness
Important personal documents may also require your signature to be witnessed. For example, you may require someone to witness a signature on mortgage documents or land registry forms. Some lawyers include space for a witness to sign legal documents as a matter of good practice.
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How Does Someone ‘Witness’ My Signature?
Witnessing a signature in person is relatively straightforward. First, the individual has to watch you sign the document and then sign it themselves to confirm their sight of your signature.
However, witnessing an electronic signature is slightly more complex. For example, you may need to sign the document while allowing the witness to watch via video link. Further, you should obtain specialist legal advice when you and the witness are in two different locations, especially if you are in different countries.
Who Can Witness Your Signature?
When signing a deed for your company as a sole director, your witness should be someone who:
- has no involvement in preparing the deed and does not benefit from the agreement;
- is at least 18 years old; and
- is not related to you.
Why Do We Have Witness Rules?
Witness requirements are vital to minimise the risk of fraud and forced signature. Our legal system believes that having a witness will ensure a more honest account of signing and help limit coercing an individual who does not want to sign the document.
Notably, the UK Government has amended witness rules for specific documents to allow remote witnessing of signatures due to the impact of the COVID-19 pandemic. Allowing remote witnessing overcomes the health risks that accompany physical witnessing. Most of these amendments apply to witness requirements relating to wills.
Key Takeaways
The witness requirement will depend on the type of contract your business is entering. Once you establish that a witness is required, you must carefully select a suitable witness and follow the required physical or electronic witnessing procedures. It is simpler to arrange a physical witness. It is worth seeking legal advice if you wish to explore someone witnessing your signature remotely (or electronically).
If you need help with signature witnessing requirements, our experienced contract lawyers can assist as part of our LegalVision membership. For a low monthly fee, you will have unlimited access to lawyers to answer your questions and draft and review your documents. Call us today on 0808 196 8584 or visit our membership page.
Frequently Asked Questions
It is very simple. Most high street firms can schedule a 15-minute witness appointment with a lawyer for a small fee. The main requirement is that the lawyer cannot act for the other party to the contract.
It is possible to avoid witness restrictions in limited circumstances. For example, it may be possible to sign a document as a ‘simple contract’ rather than as a deed. However, this will depend on the terms of the contract and any other legal requirements.
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