Electronic signatures in the United States

In short

A signature, contract or other record may not be denied legal effect, validity or enforceability solely because it is in electronic form (15 U.S.C. §7001(a)). The main law: ESIGN Act (15 U.S.C. §7001) and UETA.

What the law says

Two laws work together. The federal Electronic Signatures in Global and National Commerce Act (ESIGN) of 2000 provides, at 15 U.S.C. §7001(a), that for any transaction in or affecting interstate or foreign commerce, "a signature, contract, or other record relating to such transaction may not be denied legal effect, validity, or enforceability solely because it is in electronic form". The Uniform Electronic Transactions Act (UETA), a model law published by the Uniform Law Commission in 1999, says the same for state law and has been enacted by 49 states, the District of Columbia and the US Virgin Islands; New York has its own Electronic Signatures and Records Act instead.

Points that matter in practice:

• Definition. ESIGN defines an electronic signature as an electronic sound, symbol or process attached to or logically associated with a record and executed or adopted with intent to sign. A drawn signature, a typed name or a clicked button can all qualify.
• Consumer consent. Where a law requires information to be given to a consumer in writing, §7001(c) allows electronic delivery only if the consumer has affirmatively consented after clear disclosures about hardware and software requirements, the right to paper copies and how to withdraw consent. AiresDocs's consent step records agreement to sign and receive documents electronically; businesses sending regulated consumer disclosures should make sure their own disclosure wording meets §7001(c).
• Exceptions. §7003 excludes wills, codicils and testamentary trusts; adoption, divorce and other family-law matters; most of the Uniform Commercial Code; court orders, notices and official court documents; notices of utility cancellation, of default, foreclosure or eviction on a primary residence, of health or life insurance cancellation and of product recalls; and documents accompanying hazardous materials. UETA has a similar list, and some states add their own.
• Notarisation. Where a document must be notarised, ESIGN allows electronic notarisation but the notary's own rules apply. AiresDocs does not offer notarisation.

What AiresDocs provides

A simple electronic signature for every signer, with an evidence package: unique signing links sent to named addresses, explicit consent, an append-only event log and SHA-256 hashes of the original and final contract, checkable on a public verification page. It is not a qualified electronic signature or a notarisation service. What courts look for, and how each piece of evidence maps to it, is in How electronic signatures work.

Sources

• 15 U.S.C. §7001, ESIGN Act general rule of validity (Cornell LII)
• 15 U.S.C. §7003, ESIGN Act specific exceptions (Cornell LII)
• Uniform Electronic Transactions Act (1999), Uniform Law Commission

If a link stops working or the law changes, email support@airesdocs.com and we will update this page; changes are dated in the changelog.