Electronic signatures in electronic contracts are becoming more common in India, thanks in part to the government’s Digital India initiative, which aims to improve digital infrastructure and transform the country into a paperless economy. Electronic signatures are increasingly being used by companies conducting business in India to complete transactions.
The Information Technology Act, 2000 (IT Act) and laws such as the Digital Signature (End Entity) Rules, 2015; Information Technology (Use of Electronic Records and Digital Signature) Rules, 2004; and Information Technology (Certifying Authorities) Rules, 2000 govern electronic signatures in India. Electronic records are legally recognised under Section 4 of the Information and Technology Act of 2000. Section 5 of the Information Technology Act of 2000 establishes legal recognition for electronic signatures, stating that if any law requires that a document be affixed with the bearer’s signature, such authentication will be considered valid if done using a digital signature in the manner prescribed by the Central Government. Contracts created using electronic means are lawful under Section 10A of the Information Technology Act of 2000.
E-signs are recognised by the Indian Evidence Act of 1872 as proof of presumption to an electronic agreement. Electronic records are accepted as documentary evidence.
Various changes have occurred as a result of global technology breakthroughs and the use of electronic communication and working mediums. A new era necessitates a new government system. As society and cultures change, there is a growing need for legislation to keep up with the times. The usage of e-signatures in papers is one such example.
With Transact Management, you can speed and streamline your closing process in practical, significant ways, whether it’s with centralised process checklists, collaborative online workspaces, or digital signatures.
When lawyers no longer have to contend with time-consuming tasks like monitoring version changes and getting signatures on documents, they can use their time more strategically on value-added activities that make a real difference to their firms’ bottomline.
They can also automate the steps required to create, distribute and track signature pages, which can lead to an overall better experience for the lawyer but more importantly, for the client. The use of a secure, encrypted, multi-location online platform along with real-time digital signatures makes it easy to maintain and negotiate transaction documents. Now you no longer have to communicate project updates through email (which can get lost) or via conference calls and meetings (which can be tedious and time-consuming).
Each execution version of a document in a checklist can be prepared “as you go” or as a bundle with Litera Transact . They can be designated from the latest version, and all parties can access them securely online so there is no need to try and control or manage multiple emails. Users can automatically create signature blocks, pages, and packets for all signers. Then, all parties can either sign electronically or upload their own signatures to the designated execution version, which is then auto-checked to show the signature has been added. A trainee can then go on to the platform, see all the signatures are provided, check the signatures are correct, and then collate the final version on a built-in PDF editor—all in one place. This is more productive, professional, and cost- efficient for everyone involved in the preparation of the final closing.
Are you ready to embrace technology to manage transactions in your law firm?
