Luckily, you don’t have to go it alone when figuring out if a digital signature vendor meets your legal needs. The American Bar Association (ABA) had 70 lawyers spend four years developing a document called the Digital Signature Guidelines.
Here’s what the ABA has to say about different areas you should look for in a digital signature service:
Anytime you do business online, you need to know who you're doing business with, and digital signatures are no exception. If a signed document is challenged in court, you'll have to prove the signer’s identity.
There are a lot of different ways your digital signature vendor can prove a signer’s identity. Here are some common options:
It’s essential that your digital signature service provides a disclosure and consent page before your members can sign. The ESIGN Act requires this because they want to protect you and your members. With this step, your members are informed that they are about to commit a legally binding signature. This ensures that no one accidentally signs a document online thinking they were just reading it.
A digital signature is only as good as the security it uses. After all, what good is a contract if someone can easily tamper with it?
Some digital signature services offer a feature called “tamper evidence.” If someone tries to change any part of the document (even something as simple as deleting a space or capitalizing a word) there’s proof that tampering took place.
This feature gives you the highest possible level of evidence if someone claims one of your digitally signed documents was tampered with.
It’s important that everyone who signs a document online has access to the document after it has been signed. The digital signature service should give your credit union and your signers a finished copy of the signed document.
Most digital signature companies use audit trails (sometimes also called an audit log) to track the steps of the signature process. The audit trail is a powerful tool that can prove who signed a document and when they signed it.
To get the most legal evidence possible, you should make sure your digital signature service logs the following events:
If you follow the American Bar Association’s guidelines, you can be sure you’ll have a host of legal evidence to support your digitally signed documents if they’re ever challenged in court.