Electronic signatures are legally recognized in the United States and are provided for in the Electronic Signatures in Global and National Commerce Act (“ESIGN”) and state and territory versions of the Uniform Electronic Transactions Act (“UETA”).
Navigate to a different country pageThe United States has a two-tier model, with a federal law, ESIGN, 49 states and Washington, D.C. and Puerto Rico having their own variable versions of the UETA and New York having a law similar to UETA. ESIGN and UETA only apply to electronic records and signatures that are related to a transaction.
Under ESIGN, a “transaction” is an action or set of actions relating to the conduct of business, consumer, or commercial affairs between two or more persons, including any of the following types of conduct—(A) the sale, lease, exchange, licensing, or other disposition of (i) personal property, including goods and intangibles, (ii) services, and (iii) any combination thereof; and (B) the sale, lease, change, or other disposition of any interest in real property, or any combination thereof. A “person” is an individual, corporation, business trust, estate, trust, partnership, limited liability company, association, joint venture, governmental agency, public corporation, or any other legal or commercial entity.
Under UETA, a “transaction” is an action or set of actions occurring between two or more persons relating to the conduct of business, commercial, or governmental affairs. A “person” is an individual, corporation, business trust, estate, trust, partnership, limited liability company, association, joint venture, governmental agency, public corporation, or any other legal or commercial entity.
An electronic signature cannot be denied legal effect, validity, or enforceability solely because it is in electronic form. With that said, if the validity of the electronic signature is challenged, the party seeking to enforce the electronic signature must (i) demonstrate that the signer intended to sign the electronic record; (ii) attribute the electronic signature to the signer (which may be accomplished by any means); (iii) ensure that the electronic signature is attached to, or logically associated with, the record being signed; (iv) the signer must be permitted to retain a copy of the signed record; and (v) the signed record must be maintained in a secure manner that preserves its integrity.
ESIGN and UETA define an electronic signature as “any electronic sound, symbol, or process attached to or logically associated with a record and executed or adopted by a person with the intent to sign the record.
The following transaction types generally are eligible for the use of electronic signatures:
While the use of electronic signatures is not prohibited for the following transaction types, caution should be exercised before using electronic signatures. Below are some examples of transaction categories that may require further assessment before proceeding:
The following six cases are examples of where U.S. courts have addressed the use of electronic signatures:
DISCLAIMER: The information on this site is for general information purposes only and is not intended to serve as legal advice. Laws governing the subject matter may change quickly, so DocuSign cannot guarantee that all the information on this site is current or correct. Should you have specific legal questions about any of the information on this site, you should consult with a licensed attorney in your area.
Last updated: January 23, 2023