An electronic signature made through any device, like a desktop, laptop, tab, or smartphone, using the eSign app. This has become a swift and easy way to sign important documents today.
eSign or electronic signature means signing any document online using any device instead of printing the document and signing it physically. This technology is legally recognized by the government through the Uniform Electronic Transactions Act (UETA) and Electronic Signatures in Global and National Commerce Act (ESIGN).
This has allowed e-signature to be recognized in the same legal standing as traditional ways of signing and completing contracts. Electronic signatures have become widely popular in every industry be it trading, finance, real estate or e-commerce.
With eSign, people can now complete transactions and sign contracts remotely. It saves time, ensures accuracy, and is legally binding. Furthermore, an e-sign doesn’t necessarily have to be a mark or replica of the signee’s physical signature. It can be an electronic sound, symbol or simply the process where the signee intends to sign or agree to the terms. For example, the “I Agree” option is an accepted type of e-signature.
E-sign is extremely beneficial for every industry. People are continuously relying on this technology for everyday signing purposes. Even for real estate transactions, investors, brokers, banks and financial institutions use eSign. The benefits of eSign are:
E-sign is safe and legally binding. E-signatures are directly linked to the account of the signee which means it cannot be accessed or modified by any other party. The software used by e-signatures relies entirely on encryption and multiple layers of security and authentication, making the data secure.
It is also more secure than wet signatures as wet signatures can be forged, copied and tampered with easily. Even if a piece of paper is signed, it is easy to throw away or destroy, ensuring there is no evidence of a signature in the first place.
The e-Sign act under the U.S. law is mainly recognized by two acts - UETA and ESIGN. These acts state that the law holds an e-sign to be in the same standing as traditional signatures in all forms of trading. This means that electronic or digital signatures cannot be dismissed in the court of law. With a few limitations, eSign is acceptable as binding for any contract a business, an institution or person may hold.
The scenarios where the e-sign may or may not be applicable include the following:
E-signatures have drastically changed the way trading works. It has made things faster, easier and more secure. As they are treated in the same way that physical signatures are, people get collateral benefits from using e-signatures.
Not just personal, but organizations and businesses are also seeing many benefits of e-sign especially with saving cost and time. It has made real-time transactions possible.