What model law recognizes the validity of electronic signatures in contracts?

What model law recognizes the validity of electronic signatures in contracts?

• A. Uniform Commercial Code
• B. Electronic Signatures in Global and National Commerce Act
• C. Digital Signature Act
• D. Internet Transactions Law

Answer: (B)

The Electronic Signatures in Global and National Commerce Act (ESIGN Act) is the model law that affirms the validity of electronic signatures in contracts. Enacted in 2000, the ESIGN Act was designed to enhance electronic commerce by ensuring that electronic signatures have the same legal standing as traditional handwritten signatures. This means that contracts signed electronically are legally binding and are recognized across states and federal jurisdictions. The ESIGN Act also provides guidelines on how electronic signatures should be obtained, ensuring that consumers are aware of the implications of using electronic means for consent and agreement. By promoting uniformity in electronic transactions, this legislation supports businesses and consumers in engaging in commerce electronically, reflecting the growing reliance on digital methods in all facets of business today.

The Electronic Signatures in Global and National Commerce Act (ESIGN Act) is the model law that affirms the validity of electronic signatures in contracts. Enacted in 2000, the ESIGN Act was designed to enhance electronic commerce by ensuring that electronic signatures have the same legal standing as traditional handwritten signatures. This means that contracts signed electronically are legally binding and are recognized across states and federal jurisdictions.

The ESIGN Act also provides guidelines on how electronic signatures should be obtained, ensuring that consumers are aware of the implications of using electronic means for consent and agreement. By promoting uniformity in electronic transactions, this legislation supports businesses and consumers in engaging in commerce electronically, reflecting the growing reliance on digital methods in all facets of business today.