Are eSignatures Legally Binding in Sri Lanka?

Electronic signatures are legal in Sri Lanka and have been since 2006 with the introduction of the Electronic Transactions Act (ETA). In Sri Lanka, a valid contract does not need a written signature, as long as the parties reach an agreement of some form, whether it is verbal, electronic, or a physical document, unless there are specific statutory requirements. The ETA states that a contract cannot be denied enforceability just because it is electronic. Digital document management solutions can provide electronic records admissible in court under section 21 of the ETA.

Documents that can be signed electronically

Some transactions in Sri Lanka can use a simple electronic signature (SES), these include commercial agreements between corporate entities and consumer agreements such as new retail account opening documents.

Documents that may not be electronically signed

There are some use cases where it is explicitly required that handwritten signatures are used or formal processes are in place that are not compatible with electronic signatures. These include:

A trust for movable property
HR contracts and benefits paperwork
A license issued to a telecommunications system operator
Corporate documents
IP licenses and transfers
Certain government departments
Financial transactions on a regulated exchange
Power of attorney
A will, testament, or codicil
A contract for the sale or conveyance of immovable property
A trust for immovable property

Notable legality changes since 2020

None.

Publicly Accessible Links to Laws/Regulations Discussed

Electronic Transactions Act

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

The Legality of eSignatures in Sri Lanka

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