E-Signature Demystified: How to ensure your e-signatures are valid and enforceable

Hi there, dreamers & dynamos,

Welcome to a masterclass on creating valid e-signatures.

E-signature: God's gift to entrepreneurs or trojan horse?

We get it – in the hustle and bustle of the biz world, those electronic signatures, or an e-signature if you're hip, are total lifesavers. Just a click, and bam, contracts signed, deals closed! But here's the million-dollar question: Are those e-signatures legally rock-solid? Well, we're here to be your go-to guide on making sure your digital autographs hold up like champs.

But first, to trip down memory lane for a moment. At the first law firm that I worked at, fresh out of law school, we had a single shared e-mail account for the firm and had to fax the partner anything we needed comments on. A Fax! In 2012! It was old school. How I would have loved a good e-signature back then.

That's enough reminiscing for now. So let's dive into the nitty-gritty and turn you into an electronic signature maestro!

The Magic of an E-Signature

Alright, let's set the stage here – electronic signatures are like the superhero capes of the business realm. They're quick, hassle-free, and let's face it, pretty darn slick. But hold your horses – are they as legally legit as old-school pen and paper? The short answer is yes! But, of course, there's a twist. Let's unpack this together and make sure you're in the clear.

Not sure if your contract is enforceable at all? Check out this article for all that you need to know!

1. Where You Sign Matters

Hey, we've all been there – choosing the right platform for your contract can feel like picking the perfect filter for your Instagram post. Opt for the big players like DocuSign, HelloSign, Honeybook, Adobe Sign, or another reputable CRM. Why is this important? Well, the ability to automate and sign quickly is a huge bonus when parties are geographically far apart. But even more importantly, many platforms will authenticate the signatures and verify IP addresses which is clutch if there is ever an issue with the agreement. You can easily figure out when, where, and on what IP address the contract was signed. They're like the trustworthy sidekicks of e-signatures, making sure your signatures pack a punch. 

2. Let’s Talk Intent, Baby

Imagine you're shaking hands on a deal – the same level of understanding is essential for e-signatures. Everyone at the virtual table should be on board, fully aware that electronic signatures mean business. It's like giving that virtual nod of consent before you hit that sign button.

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3. Be You, Confirm You

ID checks, anyone? Just like showing your ID at the bar, verifying your identity matters big time. E-sign platforms got you covered with email verifications and secret codes – ensuring it's actually you behind the screen, not some random keyboard warrior.

4. Play 'Spot the Signature'

You know how you'd scrutinize a paper before signing? Same game, different rules. Double-check your virtual scribble's spot – it should be dead-center in the document. No shifty business here!

5. Tamper-Proof Dealings

It's like protecting your secret recipe – once signed, that document's sacred. Encryption steps in to save the day, ensuring no one's tampering with your e-magic. If anyone tries to pull a fast one, they're busted! 

6. Law & Order: E-Sign Edition

Laws? Yep, they're still a thing. Different places, different rules. Know the Electronic Signatures in Global and National Commerce Act (ESIGN Act) if you're waving the U.S. flag. If you've got global ties, say hello to the EU's eIDAS Regulation. Fortunately, both hold that an e-signature is valid and enforceable in most situations. 

Bonus tip: Be sure to include an e-signature clause which states that e-signatures are valid and have the full force of a manual signature and that the contract can be signed in counterparts (you sign one digital copy and your customer signs a digital copy somewhere else) and that together they will make the original agreement.

Contract Checklist

Check out this article for more on what needs to go into your client contracts now that you know how to use e-signatures for signing convenience!

7. Remember, Receipts!

Your receipts from that vintage store might fade, but e-sign records shouldn't. Platforms give you an audit trail – a digital paper trail showcasing who, what, and when. It's like a spy movie, but with contracts.

8. Easy Peasy Retrieval

Imagine your docs are your fave sneakers – you'd keep them safe, right? Store e-docs on a secure cloud, making sure they're easily accessible. Just like finding your go-to sneakers for a quick jog.

9. Educate & Elevate

You're the boss, but your squad should know the drill too. Educate everyone involved – clients, contractors, even your office plants (okay, maybe not the plants). Everyone needs to know what's up with e-signatures.

10. Expert Advice FTW

When in doubt, don't hesitate to ring in the experts. Legal eagles who know their stuff can guide you through the e-signature jungle. Safety first, gals!

TLDR:

• An e-signature is usually considered valid and enforceable both in the US and in Europe

• An online platform can make using e-signatures easier and more reliable

• Use a big name online platform that will authenticate the e-signature and verify IP addresses

• Definitely include an e-signature clause in your contracts and make sure that it has a counterparts provision

• Bonus points for easier record keeping and convenience!

Wrapping It Up

Electronic signatures are your business sidekicks – they're there to make your life easier. Remember, just like a superhero, they come with limits. Stick to these steps, and you'll be the e-signature guru of your biz! You got this, my friends!

THIS ARTICLE IS NOT A SUBSTITUTE FOR LEGAL ADVICE AND IS OFFERED FOR INFORMATIONAL PURPOSES ONLY. EVERY SITUATION IS UNIQUE AND YOU SHOULD CONSULT A LOCAL ATTORNEY FOR ADVICE ON YOUR PARTICULAR CIRCUMSTANCES.