Legal and security issues surround contracts in a market that is increasingly digital. Paperwork is more and more often exclusively online, including collecting and recording signatures. If you are concerned about this progress and the safety of your eSigned documents then you should Know Before Using eSign, follow these five essential security steps.
Make Sure You Know the Law
There are a lot of myths surrounding the various electronic signature acts worldwide. People believe that different laws apply in sales, government, and personal situations, especially in the US, where ESIGN covers federal and UETA (most) state-to-state e-signatory laws.
These statements are not accurate; both ESIGN and UETA, as well as the individual acts in New York, Illinois, and Washington, cover all contracts between consumers, businesses, and government. A few exceptions exist, depending on the state, such as wills. However, they apply to the type of paperwork, rather than the agencies involved.
Protect Your Documents
Do your research before downloading or purchasing a digital signature solution. Certification authorities evaluate different programs based on:
- Easy-to-understand and manageable security controls
- Risk evaluation and treatment tools
- Ongoing management security tools
- Updated software based on advancing technology
Our digital signature solution offers an excellent way to free eSign documents digitally and automatically while ensuring safety and security.
Remember Electronic Chattel Paper Issues
With physical contracts, one party can make changes by taking possession of the contract or by filing it. This rule also applies to e-contracts. In legal terms, a secure party has “possession” of electronic chattel papers when:
- One official unaltered copy exists, which is unique and identifiable.
- This copy records the secured party as the assigned possessor.
- The secured party or their representative are the only ones to maintain or communicate this copy.
- The identified assignee may only change in copies under the supervision and consent of the assigned secure party.
- Any copies must be distinct from the original and marked as a copy.
- A note of authorization or lack thereof must exist with every revision.
Keep Control of Workflow and Document Management
It’s critical not to undersell the importance of proper management on an ongoing project, no matter how small. Security is dependent on appropriate command. Audits and access control help manage who views documents and why, while integrity checks make verification of financial records easier at any point in their lifespan. Since technology is continuously evolving, the management plan must pay attention not only to now but to the projected future.
Make sure you are aware of who is accessing documents and why, and which parties manage each stage of the document’s life. Customer and business security are paramount, and there is no such thing as ‘too careful.’ Remember: if in doubt, safety is always the priority.
Remember Best Practices, and Stay Alert
It’s vital for every customer, business, and government official dealing with documentation to be aware of and open to continual change. The business industry is one mired in tradition, but being able to overcome this tradition without shattering it is what makes a good business great. Making sure all teams within your company work coherently is one sure-fire way to ensure smooth running and efficient security for your documents.5