70% of the World's Documents Need This Type of E-Signature

Most transactions now happen outside the United States, beyond the jurisdiction of our laws. According to the International Trade Administration, more than 70 percent of the globe’s purchasing power is located outside of the U.S.

The world is certainly getting smaller, and e-signatures offer a strategic opportunity to make international transactions convenient, timely and cost-effective – especially if the e-signature you use adheres to international standards.

It boils down to whether you use a dependent or independent electronic signature. The evidence behind a dependent e-signature is valid only because it’s based on an e-signature vendor’s private, proprietary technology. Independent e-signatures, like those used by SIGNiX, are based on international, published standards for signatures, electronic documents and cryptography. The difference between the two could be an international contract that is executed quickly…and one that stalls.

International Laws & Regulations

Many electronic signature services meet the requirements set in the U.S. by the state-level Uniform Electronic Transactions Act and the Federal E-SIGN Act. Yet, several countries around the world strongly prefer – or even mandate – that e-signatures meet a higher bar of evidentiary standards, including ISO 32000-1 and ETSI PAdES that are accepted worldwide. Independent e-signatures meet these standards.

Take Canada for example. For an e-signature to be considered a “secure electronic signature” based on its Secure Electronic Signature Regulations (SOR/2005-30), it must pass a sequence of specific security measures defined typically with the same cryptographic standards as independent e-signatures.

European E-Signature Requirements

In the European Union, the 1999 Signature Directive as well as thew recent eIDAS regulations spell out preferences that are even more demanding. Under these regulations there are multiple layers of signature, known as advanced and qualified. An “advanced electronic signature” must be:

• Uniquely linked to the signatory
• Capable of identifying the signatory
• Created using electronic signature creation data that the signatory can, with a high level of confidence, use under his sole control
• Linked to the data signed therewith in such a way that any subsequent change in the data is detectable.

Qualified electronic signatures go one step further, requiring the use of specific identity credentials (digital certificates) that are provided by specifically vetted providers throughout Europe alongside specific hardware and services designed to protect the credentials. 

Independent e-signatures can meet all of these standards.

Given this fact about international acceptance for global commerce, the safest, most secure option is to use independent e-signatures, which not only use international standards, but also embed the legal evidence supporting the signature in the document itself, provide authentication and non-repudiation tools to keep the signature under the sole control of the signature key holder and require no connection to the e-signature vendor for validation.

Want to dig deeper into e-signature technology standards? Download our white paper to find out if your e-signatures will be obsolete in 10 years.