Are eSignatures Legally Binding in the US?

Electronic signatures are legal in the United States and recognised through the Electronic Signatures in Global and National Commerce (ESIGN) Act. It addresses the use of e-signatures and electronic records, allowing their use in all 50 states where federal law applies. In specific states when federal law does not apply, most states also adhere to the Uniform Electronic Transactions Act (UETA). In the US, an e-signature cannot be denied legal effect or validity based solely on the fact that it is in electronic form.

Documents that can be electronically signed

The following types of transactions are typically eligible for the use of electronic signatures in the United States:

Technology sector
Education
Consumer transactions
Life sciences
NDAs
HR
Software licensing

Documents that may not be electronically signed

In the below types of transactions, electronic signatures are not necessarily prohibited, but care should be taken when using them in these instances. They will be assessed on a case-by-case basis:

Chattel paper
Documents to be notarised
Corporate resolutions
Bills of lading
Government filings
Wire transfer agreements
Banking
And more

Types of e-signature permitted in the US

Both the ESIGN Act and UETA define an e-signature as an electronic symbol, sound, or process attached to or logically linked with a document and executed or adopted by an individual with the intent to sign and be legally bound.

Notable legality changes since 2020

None. The laws and regulations surrounding electronic signatures have remained the same since the introduction of the ESIGN Act and the UETA.

Publicly Accessible Links to Laws/Regulations Discussed

- Electronic Signatures in Global and National Commerce Act (“ESIGN”)
- Uniform Electronic Transactions Act (“UETA”)

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 the United States

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