E-signatures: A quick overview
Electronic signatures, or e-signatures, are digital versions of your signature that indicate your consent to an online contract. They provide a hassle-free way to sign documents remotely, eliminating the need for physical paperwork and enabling more streamlined transactions.
E-signatures are legally binding for a variety of purposes and can either be typed, drawn on the screen of an electronic device, or uploaded from your desktop. This modern alternative to wet signatures has been adopted across the world, as it empowers individuals and businesses to sign documents online in a legal, secure, and efficient way.
Secure e-signatures: A Kiwi business essential
New Zealand, a country known for its innovative spirit, can further elevate its business game with electronic signatures. By eliminating the need for physical paperwork, e-signatures are an asset for businesses looking to modernise operations and stay ahead in a digital-first world. To add to this, the reliability of e-signatures fosters trust, empowering Kiwi businesses to strengthen relationships with clients and partners globally.
With the adoption of Zoho Sign, a digital signature solution, New Zealand is set to enter a new era of streamlined efficiency and economic progress. This digital signature solution delivers transformative benefits, including:
- Faster signing processes
- Enhanced productivity
- Robust signer authentication
- Top-tier security
- Convenient remote access
- Seamless user experience
- Significant cost savings
E-signatures in everyday business
In New Zealand, e-signatures are transforming industries, enabling seamless, secure transactions across multiple sectors.
- Banking and Finance
- Healthcare
- Education
- Real Estate
- Retail and ecommerce
- Government and public sector
- Transportation
- Tourism and hospitality
Electronic Signature according to the law
An electronic signature, in relation to information in electronic form, serves as a method to authenticate a person's identity and signify their approval of the information. In New Zealand, the legitimacy and protection of electronic signatures are governed by the Electronic Transactions Act (ETA) 2002 and the Contract and Commercial Law Act 2017, which provide a legal framework for their use in business transactions. Zoho Sign offers a secure, streamlined approach to e-signatures that meets regulatory standards, enhancing efficiency without compromising legal validity.
The legal status of Electronic Signature in New Zealand
An Electronic Signature can satisfy a legal requirement for a signature, except for a witness's signature, if it meets the following conditions:
- The Electronic Signature must clearly identify the signatory and demonstrate the signatory's consent to the content and terms of the document.
- The signature must be secure and trustworthy, based on the purpose and context in which it is being used.
A legal requirement for a signature on information that must be legally provided to an individual can be fulfilled through an Electronic Signature only with the explicit consent of that individual.
Presumption about reliability of Electronic Signatures
An Electronic Signature is considered to be reliable if:
- The method used to create the signature is exclusive to the person signing and cannot be accessed by anyone else.
- The person signing has complete control over the method used to create the signature.
- Any changes made to the signature after it is created can be detected.
- If the signature is intended to ensure the integrity of particular information, any changes made to that information after signing can also be detected.
However, the law allows anyone to provide additional evidence or methods to prove whether an Electronic Signature is reliable or not.
Zoho Sign, by integrating with GlobalSign, ensures that all issued digital certificates are valid, recognised, and legally effective in New Zealand. This integration gives users confidence that their electronic signatures are secure, authentic, and backed by a licensed Certification Authority.
Common use cases for Standard Electronic Signatures
Electronic signatures offer a secure, efficient, and legally recognized method for signing documents in various sectors. They are commonly used for:
- HR documents
- Commercial agreements including NDAs
- Procurement documents
- Sales agreements
- Consumer agreements
- Real estate documents such as lease agreements, IP licenses, and intellectual property licenses (including patents, copyrights, and trademarks).
Legal restrictions on Electronic Signatures
- notices that are required to be given to the public
- information that is required to be given in writing either in person or by registered post
- notices that are required to be attached to anything or left or displayed in any place
- affidavits, statutory declarations, or other documents given on oath or affirmation
- powers of attorney or enduring powers of attorney
- wills, codicils, or other testamentary instruments
- bills of lading
- requirements to produce or serve a warrant or other document that authorises entry on premises, the search of any person, place, or thing; or the seizure of anything
- details about goods or services by a consumer information standard, product safety standard, or services safety standard established under the Fair Trading Act 1986.
Simplify your electronic transactions with Zoho Sign
Seven compelling reasons why Zoho Sign is the smart choice for New Zealand businesses:
Identification and reliability:
Zoho Sign employs strong authentication techniques, such as OTP authentication and PKI-based digital signatures using digital certificates, to ensure that the e-signature is uniquely identifiable.
Intention of the signatory:
This can be collectively projected by the contents of the electronic documents (e.g., terms in an agreement), audit trail, and completion certificate.
Consent:
Zoho Sign provides a checkbox label and a signing reason dropdown to help users indicate their consent to signing a document electronically or their consent to the terms in the electronic document.
Sole control over the data being signed:
Only the signatory is allowed to review the document before signing and may reject the document if necessary.
Detectable alterations:
Zoho Sign ensures any alterations to the electronic signature or the document to which the signature is affixed are detectable through an elaborate audit trail of occurrence of all activities during the signing process. This audit trail comprises critical information, such as the identity of the signatory, the timestamp of the signature, and changes made to the document.
Enhanced security:
Zoho Sign employs robust encryption protocols, such as the military grade AES-256 encryption at rest and the TLS/SSL protocol in transit, to ensure that the data transmission between the signing platform and the data being signed is secure. This prevents exposure of documents and data from data breaches.
Audit trails:
Audit trails provide a comprehensive record of every action taken on a document, ensuring full transparency and accountability throughout the signing process. This detailed log enhances security and serves as legal evidence in case of disputes, making it a vital tool for businesses to maintain compliance and trust in their digital transactions.
Document timestamping
A digital timestamp is a digitally signed notation that is appended to the electronic data, digital signature, or certificate that indicates that certain digital data exists at a certain point in time. This process securely binds the date and time to the document, ensuring its authenticity and integrity.
Zoho Sign partners with recognised timestamping authorities, GlobalSign and Seiko, to provide trusted digital timestamps for electronic transactions. These timestamps validate the authenticity of e-signatures and verify that the signed document existed in the given form at the time of signing and remains unaltered. This adds a robust layer of security to the signing process. By making signatures tamper-proof, digital timestamps enhance the reliability of signed documents for both legal and commercial purposes.
Key takeaway
As e-signatures take centre stage in New Zealand, businesses now have a faster, safer, and smarter way to finalise deals and manage agreements. By leveraging advanced security features and robust audit trails, Zoho Sign helps businesses maintain the highest level of security and transparency, mitigating risks and ensuring peace of mind. Say goodbye to cumbersome paperwork and embrace a future of efficient, hassle-free agreements. Experience the ease and confidence of Zoho Sign—start your journey today!
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Disclaimer
The information provided in this document is for general informational purposes only and shall not be construed as legal, regulatory, or any other form of professional advice. Zoho Sign disclaims any liability for any error in the information provided herein. We recommend that you consult your legal counsel for any questions that you may have in this regard.