Are Electronic Signatures Valid and Binding?

Since the 2000s, the use of electronic signatures has become widespread globally and has become commonplace through secure applications like Docusign or Adobe.

In 2000, the U.S. federal government passed the Electronic Signatures in Global and National Commerce Act (ESIGN), which working with the Uniform Electronic Transactions Act (UETA), confirms that electronic signatures constitute legally binding documents if all parties choose to sign digitally.

All 50 states have adopted either the UETA and/or some equivalent to ESIGN.

In Florida the Electronic Signature Act (ESA) plays a pivotal role in enabling efficient and legally binding electronic transactions. Florida, like the majority of states, has adopted the UETA. Under this framework, electronic signatures are recognized as equivalent to handwritten ones. This ensures that contracts formed electronically are legally binding.

Florida Statutes §§ 668.001–006, establishes that electronic signatures hold the same legal effect as traditional handwritten signatures and are equally valid and enforceable, unless explicitly stated otherwise by law.

Fla. Stat. Section 668.50(7)(b) defines an electronic signature as encompassing any letters, characters, or symbols executed or adopted by a party with the intent to authenticate a writing. When logically associated with a document, an electronic signature becomes legally valid.

Evidence of a record or signature may not be excluded by a Florida court solely because the record or signature is in electronic form. Fla. Stat. 668.50(13).

Florida’s UETA does not apply to the creation and execution of wills, codicils, or testamentary trusts or to transactions governed by the following: the Uniform Computer Information Transactions Act; rules relating to judicial procedure (with certain exceptions); or certain sections of the Uniform Commercial Code. Fla. Stat. 668.50(3)(b).

The recognition of electronic signatures has simplified commerce, reduced the number of disputes arising over the validity of so called wet signatures, and helped modernize the formation of contracts.

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