Today, e-Signatures have transformed the way we conduct business. Gone are those days when we waited for weeks to receive the signed documents and watching the never-ending piles of paper files on the desk.
Now, the technology has become a new norm. So, it is critical to understand the difference between electronic signatures and copy/pasting an image of the signature into the PDF file. The major aspect here is eSign can be validated.
Verifying electronic signatures is crucial as several documents you sign are legally binding. When you want to do business with full confidence, these contracts require to be accompanied by an audit trail, which links them back to you.
What is eSignature Validation?
Electronic signature validation proves that a signature on the document was provided by the signee named on the contract, such as a digital fast check. As eSignature solution is made electronically, whether on your laptop or mobile phone, the device records details, such as the time, date, location, along with IP address at the time of signing. This data provides a good determination that the signature belongs to the right person.
How eSignature Solution Work?
eSign is validated by encryption that is built around the private and public keys. Every key is just like a partnership. These are created at the same time and are linked upon inception. The private key can be leveraged in order to decrypt the data when combined with the public key.
The signature validation method works the similar way as logging into a site with and email ID and password. With the two data points, the identity can be validated. With the help of cloud-based eSignature software, all the needed details for the signee to prove their identity gets embedded in the signature. At this time of signing and returning the document, you include the real data, encrypted data, public key, and any other details required for the verification process.
So, make sure that the contract isn’t forged or signed by someone else. You can validate that if a signature is original by decrypting the file by using both the keys. When their output matches the real data, then you know that it’s original deal. The procedure doesn’t need to be followed manually. With electronic signature solution, the validation is completed by our software. This is the reason why we remain compliant with eiDAS and eSIGN Act.
eSignature software validation is critical in ensuring that only a single copy of the contract exists, and that there are no fake copies. In this event that its tampered with, electronic signature validation confirms which is the correct one.
So, only the original contract will have the public key, which works with the private key. The certificate authority can hence easily recognize if the agreement is original and which one is not.
Even though you can copy and paste an image of your signature on the document, or simply type it as the text field, it will not be a validated signature. To make sure that the critical agreements are legally binding, the signature validation is mandatory, and the main reason why organizations must pick the best electronic signature system.
Are eSignatures Legal?
Yes, electronic signature software solution is legal. There are various legal definitions of what constitutes a binding signature depending on which country you reside in.
How Various Business Operations Leverage eSignature?
Making sure that electronic signatures can be validate is crucial across each industry and business operation, starting from marketing and real estate, to all the way to consumer goods/services and construction. Electronics is specifically famous among the salespeople, who are continuously sending documents to new customers. As these agreements indicate the beginning of a new corporate relationship, having an eSignature validation is critical for both the parties to have complete faith in the deal.
The HR department is also leveraging electronic signature system to send internal approvals, documents, offer letters, non-disclosure agreements, expense claims, and so much more for signing. These contracts must be validated as a trust point between the staff and manager.
Plus, there has been mass implementation of electronic signature application by the law firms. After the ESIGN Act was generated and verified, the solution started overtaking wet-ink signatures as they have quicker turnarounds and more convenient.
The legal clients leverage electronic signature to send contracts, such as NDAs and staff contracts, personal documentation, sale and purchase documents, and more.
To Sum Up
Even though eSignature validation is a technical progress, it is not something that you must worry about when you are leveraging electronic signature software.
Automated eSignature software takes several precautions to make sure that the contracts have verifiable signatures and are completely protected by the law. The contracts are securely stored in the eSign dashboard so that you can access them quickly whenever required.