What are Electronic Signatures?
The Information Technology Act, 2000 recognizes the validity of Electronic Signatures in our country. The act specifies that Electronic Signature comes under the purview of Digital Signature. The scope of Digital Signature is very vast under the act, and obtaining a Digital Signature is a tough task. The Information Technology (Amendment) Act, 2008 substituted the term Digital Signature with Electronic Signature. Under the act, there are no specific rules for the use of Electronic Signatures. A person can put an electronic signature into an agreement by simply putting his/her name in the document electronically or by signing the document electronically using any online medium.
The act substituted the name to provide ease of business to various organizations. E-commerce is growing around the world, and Electronic Signatures have proved to be beneficial in such situations. The legal status of an Electronic Signature is equivalent to a normal signature. Various judgments are established around the world that an Electronic Signature cannot be held invalid based on its electronic form only.
Electronic Contracts: Meaning, Legal Validity and Kinds
Due to globalization and the increase in trade worldwide, an Electronic Contract has become essential. Electronic Contracts or E-Contracts means a contract that has been executed electronically by the parties. Traditionally, Contracts were executed between parties with the help of pen and paper. Parties come together, discuss, and then finalize the terms of the agreement before entering into any agreement with the other parties. This becomes a time-consuming process and it is not possible in today’s age for parties to wait for such a long time before agreeing with each other. Our economy is developing day by day and e-commerce is a very big source behind it. All the transaction that is happening on an e-commerce platform is governed by an electronic agreement. These agreements are the base of such transactions and without these contracts, we cannot get involved in any of such activities.
Geeky Takeaways:
- E-contract saves a lot of time as parties are not required to come together to finalize any points.
- These discussions of the parties are happening with the help of online mediums such as email, zoom, and other communication channels.
- As a result, each party can examine the current state of the agreement and determine if it has been adequately respected or not.
Table of Content
- What is an E-Contract?
- Legal Validity of an E-Contract
- Kinds of E-Contract
- What are Electronic Signatures?
- Stamping of E-Contract
- Conclusion
- Electronic Contracts- FAQs