Digital Signatures: How are they legally-binding?

Digital signatures must have a link to a person or entity to be of any value in legal proceedings.  For this reason, Cryptoloc’s Secure2Client allows for a person to digitally-sign a document based on an independent identity verification process or service such as GreenID by VixVerify for example. 

S2C provides the functionality to digitally-sign documents shared via the cloud.  If two parties reach an agreement based on the content of a shared digital document, and both parties digitally-sign that same digital document via Secure2Client product, then those parties have a documented contract on what was agreed.   

Digital Signatures

Australian law has been recognising digital signatures as being legally equivalent to their wet-ink counterparts for more than a decade. There has been numerous precedents set in courts nation-wide where the validity of digital signatures have been tested.

Among the cases found to validate digital signatures was Stuart v Hishon (NSW SC 2013). Just Harrison found that the law must recognise the changes in the way people now enter agreements.

In Australia, there is no real distinction made at law between so-called ‘wet ink’ signatures and electronic signatures, and there is good case authority that supports the validity of electronic signatures for most purposes. Mr Stuart typed his name on the foot of the email. He signed it by doing so. It would be an almost lethal assault on common sense to take any other view”, Justice Harrison found in the case. 

Using S2C legal firms are enabling their clients to digitally-sign a document, particularly in remote areas where it may be difficult to get that signature witnessed. Through our security the authenticity of the documents are protected. We’ve worked hard to ensure that only authorised people can access the documents.  Technology has become an important part of our lives but ensuring a trail and protection of digital signatures has become paramount.