Legally Significant

Are Digital Signatures

The question anyone has before they commit to a Digital Signing service is if it legal and to what extent.

The Singapore Electronic Transaction Act (ETA) provides a legal foundation for electronic signatures and to give predictability and certainty to contracts formed electronically. The ETA was first enacted in July 1988 and in July 2010, it was repealed and re-enacted.

It follows closely to the UN Convention which is an update to the UNCITRAL Model Law on Electronic Commerce to better fit the current Internet environment.

The ETA addresses these issues:

Commercial code for e-commerce transactions
- It defines the rights and obligations of the transacting parties.
- It addresses the legal aspects of electronic contracts, use of specified security procedures and concerns for authentication and non-repudiation.

Use of electronic applications for public sector
- The ETA contains an omnibus provision through which government departments and statutory boards can accept electronic filings and electronic version of documents without having to amend their respective acts.
- It allows public bodies to issue permits and licences electronically.

Liability of network service providers
- The ETA specifies that network service providers will not be subject to criminal or civil liability for third-party material. In relation to which they are merely the host.
- The clause will not affect the obligations of a network service provider under any licensing or other regulatory regime established under the law.

Provision for the development of security procedures such as Public Key Infrastructure (PKI) and biometrics
- The ETA providers for the appointment of a Controller to enable regulations to be made for the licensing and accreditation of specified security procedure providers.

Source:

https://www.imda.gov.sg/regulations-and-licensing-listing/electronic-transactions-act-and-regulations

The ESIGN is a United States federal law which was enacted in 30 June 2000. It is to facilitate the use of electronic records and electronic signatures in interstate and foreign commerce by ensuring the validity and legal effect of contracts entered into electronically.

Sec 106 of the ESIGN Act defines:

(2) ELECTRONIC– The term ‘electronic’ means relating to technology having electrical, digital, magnetic, wireless, optical, electromagnetic, or similar capabilities.
(4) ELECTRONIC RECORD– The term ‘electronic record’ means a contract or other record created, generated, sent, communicated, received, or stored by electronic means.
(5) ELECTRONIC SIGNATURE– The term ‘electronic signature’ means an electronic sound, symbol, or process, attached to or logically associated with a contract or other record and executed or adopted by a person with the intent to sign the record.

The general intent:

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;
A contract relating to such transaction may not be denied legal effect, validity, or enforceability solely because an electronic signature or electronic record was used in its formation.

Source:

https://en.wikipedia.org/wiki/Electronic_Signatures_in_Global_and_National_Commerce_Act

eIDAS is an EU regulation on electronic identification and trust services for electronic transactions in the European Single Market. It was established in EU Regulation 910/2014 of 23 July 2014 on electronic identification and repeals directive 1999/93/EC from 13 December 1999.

All organizations delivering public digital services in an EU member state must recognize electronic identification from all EU member states from September 29, 2018. oversees electronic identification and trust services for electronic transactions in the European Union’s internal market. It regulates electronic signatures, electronic transactions, involved bodies, and their embedding processes to provide a safe way for users to conduct business online like electronic funds transfer or transactions with public services.

eIDAS has created standards for which electronic signatures, qualified digital certificates, electronic seals, timestamps, and other proof for authentication mechanisms enable electronic transactions, with the same legal standing as transactions that are performed on paper.

Source:

https://eur-lex.europa.eu/legal-content/EN/TXT/?qid=1587490712237&uri=CELEX:32014R0910

https://ec.europa.eu/digital-single-market/en/learn-about-eidas

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