E-signature terms, explained plainly

Advanced electronic signature

An advanced electronic signature (AES) is an electronic signature that meets the four requirements of eIDAS Article 26: it is uniquely linked to the signatory, capable of identifying them, created with data under their sole control, and linked to the signed data so any later change is detectable.

Audit trail

An e-signature audit trail is a time-stamped record of every event in a document's signing process, such as when it was sent, opened, viewed and signed, and by which email address, IP address and device.

Certificate of completion

A certificate of completion is a summary page attached to an electronically signed document that lists each signer, how they were verified, and when they viewed and signed, together with a fingerprint of the original file.

Consent to electronic records

Consent to electronic records is a person's agreement to conduct a transaction electronically, including receiving documents and signing them electronically instead of on paper. Under the ESIGN Act, consumers must give it affirmatively, after specific disclosures, before legally required information can be sent to them electronically.

Counterparts

Signing in counterparts means each party signs its own identical copy of a contract rather than all signing the same physical document, and the signed copies together form one binding agreement. A counterparts clause in the contract confirms this.

Digital signature

A digital signature is a cryptographic value created with a private key over a hash of a document, which anyone can check with the matching public key. It shows which key signed the file and that the file has not changed since.

Document hash

A document hash is a fixed-length value computed from a file's contents by a cryptographic hash function such as SHA-256. Any change to the file, however small, produces a completely different hash, so matching hashes show two files are identical.

eIDAS

eIDAS is Regulation (EU) No 910/2014 on electronic identification and trust services, which sets EU-wide rules for electronic signatures, seals, timestamps and identity. It defines three signature levels: simple, advanced and qualified.

Electronic signature

An electronic signature is any electronic sound, symbol or process attached to or logically associated with a record and adopted by a person with the intent to sign it. A typed name, a drawn signature on a screen and a click on an 'I agree' button can all qualify.

Envelope

In e-signature software, an envelope is the package sent for signature in one transaction: the document or documents, the list of signers and their fields, the signing order and the message. Many services price plans by the number of envelopes sent.

ESIGN Act

The Electronic Signatures in Global and National Commerce Act (ESIGN), 15 U.S.C. 7001 et seq., is the US federal law of 2000 that says a signature, contract or record in interstate or foreign commerce cannot be denied legal effect solely because it is electronic.

Initials

Initials on a contract are the first letters of a signer's name, written on each page or beside a specific clause or change, to show they have read that page or agreed to that amendment.

Intent to sign

Intent to sign means the person making an electronic mark, typing their name or clicking a button did so meaning it to be their signature on that record. It is part of the legal definition of an electronic signature under the ESIGN Act and UETA.

Notarisation

Notarisation is the process in which a notary public, an official authorised by the state, verifies a signer's identity, witnesses or acknowledges their signature, and adds a notarial certificate and seal to the document.

PAdES

PAdES (PDF Advanced Electronic Signatures) is a set of ETSI standards, now EN 319 142, that define how digital signatures are embedded in PDF files so they can be verified and kept valid over the long term.

PKI (public key infrastructure)

Public key infrastructure (PKI) is the set of roles, policies and technology used to create, issue, manage and revoke digital certificates, which bind public keys to named people, organisations or services so their digital signatures can be trusted.

Qualified electronic signature

A qualified electronic signature (QES) is an advanced electronic signature created by a qualified signature creation device and based on a qualified certificate for electronic signatures, as defined in eIDAS Article 3(12). It has the equivalent legal effect of a handwritten signature in every EU member state.

Remote online notarisation

Remote online notarisation (RON) is notarisation performed over a live audio-video call, in which a commissioned notary verifies the signer's identity electronically, watches them sign the electronic document, and applies an electronic notarial seal and certificate.

Signatory

A signatory is a person or party who signs a document, agreeing to be bound by it either personally or on behalf of an organisation they are authorised to represent.

Signing order

A signing order (or routing order) is the sequence in which signers receive a document: either all at the same time (parallel) or one after another, where each person is only sent the document once the previous one has signed (sequential).

Simple electronic signature

A simple electronic signature (SES) is the basic level of electronic signature under eIDAS Article 3(10): data in electronic form attached to or logically associated with other data and used by the signatory to sign, such as a drawn signature, a typed name or a click to accept.

Tamper-evident seal

A tamper-evident seal on a PDF is a digital signature applied over the completed document so that any later change to the file invalidates the signature and is flagged by PDF readers.

Trusted timestamp

A trusted timestamp is a token issued by an independent timestamp authority, under the RFC 3161 protocol, that binds a document's hash to a specific date and time and is signed by the authority so it cannot be backdated.

UETA

The Uniform Electronic Transactions Act (UETA) is a model law approved by the Uniform Law Commission in 1999 and adopted by 49 US states, the District of Columbia, Puerto Rico and the US Virgin Islands. It gives electronic records and signatures the same legal effect as paper.

Wet signature

A wet signature is a signature made by hand in ink on a physical document. The term distinguishes it from electronic signatures, including scanned or drawn images of a handwritten signature.

Witness

A witness is a person who watches someone sign a document and then signs it themselves to confirm that the signature was made by that person. Witnessing is required for some documents, such as deeds and wills in many countries.