Legal validity
Are electronic signatures legally binding
Yes, electronic signatures are legally binding for most business contracts. In the United States the ESIGN Act and UETA give them the same effect as handwritten signatures, and in the European Union eIDAS forbids rejecting a signature only because it is electronic. A few documents, such as wills and some court and family matters, are excluded.
Certificate of completion
Audit trail, Order Form Acme Retail
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Sent to Priya Shah, signer 1 of 2Attribution Unique link to one email address Oct 3, 10:21:04 UTC
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Consent to electronic records acceptedConsent ESIGN 101(c), UETA section 5 Oct 3, 10:40:17 UTC
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Signature applied from 203.0.113.24Intent Typed name and Sign button Oct 3, 10:42:09 UTC
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Countersigned by Dana PriceIntent Second signer in order Oct 3, 14:05:51 UTC
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Document sealed, SHA-256 a41f09c2e7b3Integrity Any later change breaks the seal Oct 3, 14:05:52 UTC
The laws
What each law actually says
A short summary for business readers. It is general information, not legal advice for your situation.
ESIGN Act, United States
The federal Electronic Signatures in Global and National Commerce Act (2000) says a signature, contract or record in interstate and foreign commerce cannot be denied legal effect only because it is electronic. For consumers it adds disclosure rules: they must consent to electronic records and be told how to get paper copies.
UETA, US states
The Uniform Electronic Transactions Act is adopted by 49 states, the District of Columbia and US territories. New York applies its own Electronic Signatures and Records Act with the same effect. UETA applies when the parties agree to transact electronically, which can be shown by their conduct.
eIDAS, European Union
Regulation 910/2014 defines three levels: simple, advanced and qualified electronic signatures. None can be refused as evidence just for being electronic. Only a qualified signature automatically has the same effect as a handwritten one in every member state.
Simple, advanced and qualified signatures compared
What it is
- Simple (SES)
- Any electronic sign of intent, such as a typed or drawn name or a click on sign
- Advanced (AES)
- Uniquely linked to the signer, under their sole control, and any later change is detectable
- Qualified (QES)
- An advanced signature made with a qualified device and a qualified certificate from a trust service provider
Identity check
- Simple (SES)
- Usually email
- Advanced (AES)
- Stronger link to the signer, for example email plus a second factor or identity check
- Qualified (QES)
- Verified identity, often in person or by video
Typical use
- Simple (SES)
- Sales contracts, NDAs, order forms, SOWs, HR letters
- Advanced (AES)
- Higher value or regulated agreements
- Qualified (QES)
- Documents where national law requires a handwritten equivalent
Signee
- Simple (SES)
- Yes, with consent, email authentication and audit trail certificate
- Advanced (AES)
- Supports the evidence an AES relies on (signer link, tamper evident seal); whether a signature qualifies depends on the facts
- Qualified (QES)
- No. Use a qualified trust service provider
| What you compare | Simple (SES) | Advanced (AES) | Qualified (QES) |
|---|---|---|---|
| What it is | Any electronic sign of intent, such as a typed or drawn name or a click on sign | Uniquely linked to the signer, under their sole control, and any later change is detectable | An advanced signature made with a qualified device and a qualified certificate from a trust service provider |
| Identity check | Usually email | Stronger link to the signer, for example email plus a second factor or identity check | Verified identity, often in person or by video |
| Typical use | Sales contracts, NDAs, order forms, SOWs, HR letters | Higher value or regulated agreements | Documents where national law requires a handwritten equivalent |
| Signee | Yes, with consent, email authentication and audit trail certificate | Supports the evidence an AES relies on (signer link, tamper evident seal); whether a signature qualifies depends on the facts | No. Use a qualified trust service provider |
In practice most business agreements are signed with simple electronic signatures. What makes them hold up is not the label but the evidence: who received the document, that they agreed to sign electronically, when they signed and that the document has not changed since. That is exactly what the electronic signature software in Signee records, and the electronic signature security page explains how the record is protected.
Documents that still need ink or a qualified signature
Both US laws carve out a short list of documents, and EU member states keep their own lists. Typical exclusions are:
- wills, codicils and testamentary trusts
- adoption, divorce and other family law matters
- court orders, notices and official court documents
- notices of utility shutoff, foreclosure, eviction or cancellation of health or life insurance
- in many EU countries, real estate transfers and documents that need a notary
If a document falls into one of these groups, or if the other party or a regulator asks for a qualified signature, use the required method for that document. Everything else your business signs every week, from order forms to NDAs, can go through Signee.
What makes an e-signature hold up
Courts look for intent to sign, consent to do business electronically, a clear link between the signature and the signer, and a record that the document was not changed. Signee shows the consent text before signing, sends each signer a unique link, records every step in a hash chained audit trail and seals the final PDF. More background is on our contract management blog, and the rest of the product is described on the contract management software overview.
Consent to electronic records
Shown to every signer before signing
I agree to receive and sign this agreement electronically, and I understand that my electronic signature has the same effect as my handwritten signature.
I can ask for a paper copy and withdraw this consent at any time by writing to the sender.
Priya Shah, Acme Retail
SignedLegal validity questions
Are electronic signatures legally binding in the US
Are electronic signatures valid in the EU and UK
Is a signature from Signee a qualified electronic signature
Is a typed name a valid signature
Which documents cannot be signed electronically
Is this page legal advice
Keep reading
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