Are electronic signatures legal in the US?

The two laws

The federal ESIGN Act (the Electronic Signatures in Global and National Commerce Act, 2000) says that a signature, contract or other record relating to a transaction in interstate or foreign commerce may not be denied legal effect just because it is in electronic form.

Almost every state has also adopted the Uniform Electronic Transactions Act (UETA), which gives the same rule for transactions under state law. The few states that have not adopted it have their own electronic signature laws that reach a similar result.

Neither law demands a particular technology. A typed name, a drawn signature or a click on “I agree” can all count, as long as the person meant to sign.

What the laws expect

• Intent to sign. The person meant to sign the document, just as with a pen.
• Agreement to do business electronically. The parties agreed to deal electronically. Under UETA this can come from the circumstances, for example someone choosing to sign through a link sent to them.
• A link between the signature and the document. It must be clear which document was signed.
• A record that can be kept. Everyone should be able to keep an accurate copy of the signed document and look at it later.

Extra rules for consumers

When a law says a business must give a consumer certain information in writing, ESIGN only lets the business give it electronically if the consumer has agreed after being told certain things, such as their right to a paper copy and how to withdraw their agreement. If you send legally required notices to consumers, check that you meet these rules.

Documents that are usually fine to sign electronically

• Quotes, estimates and proposals
• Service, consulting and freelance agreements
• Non-disclosure agreements
• Employment offer letters and onboarding forms
• Consent and release forms
• Leases and most day-to-day commercial contracts

Some documents are left out of these laws, or have their own formal rules. Read which documents can’t be signed electronically in the US before you rely on an electronic signature for anything important.

Making it easy to prove

• Send the document to an email address the signer controls, and keep the invitation.
• Keep the signed PDF together with its activity trail.
• Check later that the finished file has not changed, for example by comparing its fingerprint.
• For high-value documents, add an identity check, a witness or a notary as well.

Each document signed with Docket Secure ends with an activity trail page and has a fingerprint you can check with the document checker. The guide to proving an electronic signature goes into more detail.