How does PandaDoc ensure eSignature legality?
We ensure that your signatures are authentic, credible, and enforceable by complying with regulations regarding the security and traceability of an electronic signature. You can also take additional steps to protect sensitive data by verifying the signature through qualified electronic signature or by verifying the recipient through passcode or SMS text.
This means that we can securely send your documents to the user of your choice and ensure that the individual you send your contracts to is the only one who can sign that documentation.
While we do provide an eSignature solution that provides legally-binding digital signatures, we can’t speak to the validity of your contract. Be sure to check with legal experts to ensure that your contract is enforceable within the jurisdictions where it may need to be enforced.
Are PandaDoc eSignatures admissible in court?
PandaDoc’s eSignatures comply with the most stringent legal requirements in the EU and the United States. The exact requirements for eSignature will be dependent on your location and should be confirmed with legal counsel.
With PandaDoc’s eSignatures, every action on the document is tracked and recorded in the non-editable audit trail attached, including every time it is sent, viewed, printed, signed or declined – as well as the time stamp, IP and email address. This means it is straightforward to prove where, when, and by whom the document was interacted with, and that it has not been tampered with.
Due to our third-party ID authentication and secure data encryption and storage, eSignatures can offer court-admissible evidence that is equivalent to a handwritten (“wet”) signature.
When should I use Qualified Electronic Signatures (QES)?
QES should be used when the sender wants to ensure the security and compliance of any signature. This feature allows users to protect sensitive data and confirm the identity of the signer. This feature is essential mainly for:
- European companies that want to be compliant with eIDAS regulation;
- Larger organisations that worry about protecting their data, have more documents to sign and more complex internal processes and receive more attention from regulatory bodies;
- Some regulated industries that are required by law to support QES for a specific business transaction (HR onboarding of a new hire, Real estate to buy and sell property, Healthcare).
What trust service providers does PandaDoc use?
We partner with eID Easy to provide identity verification through the following trust service providers (TSPs):
- Smart ID
- Mobile ID
- National ID card
- Freja eID
- Chave Movel
- CertEurope
- Certsign
- DIIA
- EvroTrust
What information is on an electronic signature certificate?
Our eSignature certificate shows your recipient’s name, their signatures/initials, their verified email address, and their IP address. They also include date/time stamps indicating when the agreement was completed and when SMS or passcode verification took place (if applicable).
Are my electronic documents secure?
Yes.
The security of your data is our highest priority. We are SOC Type 2 compliant, and all your data is asymmetric/public-key encrypted while in transit and at rest.
Are PandaDoc eSignatures legal in my country?
Do I retain my electronic records?
Always. While you are able to download or export your signed documents, you can also organize them inside PandaDoc for easy access.
However, if you choose to maintain your records, please be aware that record retention is a key factor in the use of electronic records.
You’ll need to store your contracts and documents for several years in order to adhere to most federal regulations.
Can electronic signatures replace handwritten signatures and documents?
In many cases – yes, electronic signatures are valid and enforceable. Specific exceptions may apply depending on your business and use case, so it’s important to select the right type of electronic signature to match the legal weight of your agreement.
Different types of eSignature and recommended use cases are:
Simple Electronic Signature (SES) can be used for documents with fewer legal requirements.
Qualified Electronic Signature (QES), with accompanying certificate, has the same legal weight as a handwritten signature in the EU. QES are suitable for documents with stringent legal requirements and a high risk of liability, including audits and consumer loan and credit contracts.
In the United States, the ESIGN Act indicates that electronic signatures can be upheld in a court of law but requires that paper contracts and handwritten signatures remain the standard in certain cases, such as family law, wills and trusts, and health insurance benefits termination. In the EU, only QES accompanied by a certificate verifying the signatory’s identity has the same legal value as handwritten signatures.
What do eIDAS, SES, AES, and QES mean?
eIDAS
The eIDAS regulation is a regulation on electronic identification and trust services for electronic transactions in the European Single Market. It defines three types of electronic signature (SES, AES, QES) and establishes a legal framework for people, companies (especially small to mid-size enterprises), and public administrations to safely access services and execute transactions digitally across all EU member states.
Since the UK left the EU, an amended but largely similar form of the regulations (UK eIDAS Regulations) apply to electronic signatures used in the UK.
Standard or Simple electronic signature (SES)
Standard Electronic Signature is the most basic type of eSignature. The signatory can type or draw their name, and there is no electronic form to validate the signature. While this type of signature is very easy to use, it’s also the easiest to refute because there are limited security protocols in place to verify the authenticity of the signer.
Advanced electronic signature (AES)
An advanced electronic signature must ensure that signatures are uniquely connected to, and capable of, identifying the signatory. It must be created using electronic signature creation data that the signatory can, with a high level of confidence, use under their sole control.
Qualified electronic signature (QES)
A qualified electronic signature is a stricter form of AES, and the only signature type given the same legal value as a handwritten signature. It is an advanced electronic signature accompanied by a qualified digital certificate created by a qualified signature creation device (QSCD). The QSCD must be issued by a qualified EU Trust Service Provider (TSP) on the European Union Trust List (EUTL).