Electronic Signature and Digital signature software solutions can automate your formal approvals affordably, allowing you to go paperless, cut costs and expedite your business processes. E-signature is commonly called as esignature, electronic signature, esign, online signature, digital signature. Electronic-Signature software enables you to sign documents online. Electronic Signature is the act of signing a person’s name written with one’s own hand utilizing electronic technology. It is a secure method of signing legally binding documents.

Digital Signature

A Digital signature (standard electronic signature) takes the concept of traditional paper-based signing and turn it into an electronic “fingerprint.” This “fingerprint,” or coded message, is unique to both the document and the signer and binds both of them together. The digital signature ensures the authenticity of the signer. Any changes made to the document after it is signed invalidate the signature, thereby protecting against signature forgery and information tampering. Digital signatures help organizations sustain signer authenticity, accountability, data integrity and non-repudiation of electronic documents and forms.

Electronic Signature

An electronic signature is defined as an electronic sound (e.g., audio files of a person’s voice), symbol (e.g., a graphic representation of a person in JPEG file), or process (e.g., a procedure that conveys assent), attached to or logically associated with a record, and executed or adopted by a person with the intent to sign the record. An electronic signature is easy to implement, since something as simple as a typed name can serve as one. Consequently, e-signatures are very problematic with regards to maintaining integrity and security, as there is nothing to prevent one individual from typing another individual’s name. Due to this reality, an electronic signature that does not incorporate additional measures of security (similar to a digital signature, described above) are considered an insecure way of signing documentation.

Legally Binding Electronic Signatures

In 1999, the EU passed the “EU Directive for Electronic Signatures” and on June 30, 2000, President Clinton signed into law the Electronic Signatures in Global and National Commerce Act (“ESIGN”), which made signed electronic contracts and documents as legally binding as a paper-based contract.

Today, digital signature solutions (standard electronic signature) carry recognized legal significance, allowing organizations to comply with regulations worldwide. Learn more about the laws passed regarding the use of digital signature solutions.

E-Signature Law in the U.S., Canada, U.K., E.U., Australia, New Zealand, and countries around the world establish the legal standing of e-signatures. Documents signed with compliant e-signature software have the same legal validity as traditional pen-and-paper contracts. If a signature is digital, electronic, or written by hand on paper the old-fashioned way, the intent is the same. All three forms of signature indicate that the party signing a document agrees to the terms therein.

Advantages of Electronic Signatures

It is estimated that 30 billion paper documents are copied or printed by US companies annually. When factoring copying, scanning, archiving, routing, and retrieving lost documents, the associated costs of each signature are estimated at $6.50 each. The average authorized employee signs 500 documents a year at a total cost of $3,250. Organizations are implementing electronic signature solutions to:

  • Cut operational costs
  • Automate and expedite business processes
  • Address legal compliance and limit liability
  • Go green