The Legality of eSignatures in Hungary

Explore the legality of electronic signatures in Hungary and the laws and regulations that govern their use.

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eSignature Legality Hungary

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Are eSignatures Legally Binding in Hungary?

Electronic signatures are legally recognised in Hungary, as the country follows the eIDAS regulation, applicable to all EU member states. According to Belgian law, a written signature is not always required for a contract to be valid. Contracts are deemed valid as long as the parties involved are legally competent and have reached an agreement, whether that agreement is made verbally, on paper, or electronically. In case of a dispute, the parties may need to provide evidence in court to prove the existence of a valid contract. Compliant electronic signatures under the Hungarian Civil Code help verify the authenticity, validity, and existence of such agreements.

Documents that can be signed electronically

Simple electronic signatures can be used in Hungary in the use cases below:

  • Licenses of patents and trademarks
  • Consumer agreements e.g., sales terms, new retail account opening documents, services terms, order confirmations, and more
  • Some HR documents including privacy notices, NDAs, benefits paperwork and more
  • Commercial agreements between corporate entities such as NDAs, procurement documents, purchase orders, sales agreements, invoices, and more
  • Intangible property transfers
  • Software license agreements for software obtained during commercial distribution

 

Documents that may not be electronically signed

In Hungary, there are specific use cases that do not permit the use of electronic signatures and require a handwritten signature and formal notarial processes that are not typically compatible with e-signatures or digital transactions. These include all documents relating to family relationships and civil partnerships and all documents concerning matters of inheritance. In both cases, handwritten signatures are required. 

 

Types of e-signature permitted in Hungary

The eIDAS regulation defines an electronic signature as data in electronic form which is attached or logically associated with other data in electronic form and which is used by the signatory to sign. It distinguishes between three types of e-signature, simple, advanced, and qualified.

  • Simple – the most basic form of e-signature that can be in the form of typing your name at the bottom of an email or checking an approval box. There are no specific security or identity verification requirements for a simple e-signature.
  • Advanced – this type of signature is uniquely linked to the signer, can accurately identify the signer, is created using data that the signer can be confident is under their sole control and is linked to the data in a way that detects any subsequent changes that are made. Advanced electronic signatures are more secure than simple signatures and are legally binding in most use cases.
  • Qualified – this type of signature is similar to advanced but has additional requirements providers must adhere to. They must be certified based on public keys that have been issued using proper technological means. This means that the identity verification process is multi-step, using both encrypted keys and two-factor authentication.

Hungary does not have a separate definition for electronic signatures outside of the one established by eIDAS.

 

Notable legality changes since 2020

None.

 

Publicly Accessible Links to Laws/Regulations Discussed

 

Disclaimer

The content provided on this website is meant for general informational use only and does not constitute legal advice. Legal regulations on this topic can evolve rapidly, so E-Sign does not ensure that the information presented here is always up-to-date or accurate. If you have particular legal concerns regarding any details on this site, it is recommended that you consult with a licensed attorney in your jurisdiction. 

 

Last Updated 9th October 2024

 

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