What Is an Electronic Signature? Everything You Need to Know
Complete guide to electronic signatures: what they are, how they work, and why they're legally binding in most countries.
Electronic Signature Definition
An electronic signature is a broad term that covers any electronic indication of intent to agree to a document or set of data. This can range from a simple typed name at the bottom of an email to a cryptographically secured digital certificate.
The key distinction is that an e-signature represents a process, not a specific technology. Any method that captures consent electronically can qualify as an electronic signature under most legal frameworks.
Types of Electronic Signatures
Simple Electronic Signatures (SES)
The most common type. Includes drawn signatures on a touchscreen, typed names, clicking an "I Agree" checkbox, or uploading a signature image. No identity verification beyond basic email confirmation. Suitable for most business transactions.
Advanced Electronic Signatures (AES)
Linked uniquely to the signer and capable of identifying them. Created using data under the signer's sole control and linked to the signed data in a way that detects any subsequent changes. Required for certain regulated industries in the EU under eIDAS.
Qualified Electronic Signatures (QES)
The highest level of assurance. Created by a qualified signature creation device and based on a qualified certificate issued by a trusted authority. Equivalent to a handwritten signature in all EU member states. Rarely needed for standard business use.
How Electronic Signatures Work
The typical e-signature process follows these steps:
- Document preparation — The sender uploads a PDF and places signature fields where signatures are needed
- Recipient notification — The signer receives an email with a secure link to the document
- Identity verification — The signer confirms their identity (email-based for SES, certificate-based for AES/QES)
- Signature capture — The signer draws, types, or applies their signature to the designated fields
- Document sealing — The signature is permanently embedded into the PDF with a complete audit trail
- Distribution — All parties receive a copy of the signed document
Legal Framework Around the World
United States
The ESIGN Act (2000) and UETA (adopted by 47 states + DC) provide the legal foundation. E-signatures are valid for most transactions except wills, certain family law matters, and court documents.
European Union
eIDAS (Electronic Identification, Authentication and Trust Services) regulation establishes three tiers of e-signatures (SES, AES, QES) with varying levels of legal recognition across all member states.
Other Jurisdictions
Canada (PIPEDA), Australia (Electronic Transactions Act), UK (Electronic Communications Act), India (Information Technology Act), and most other developed nations have enacted similar legislation recognizing electronic signatures.
Security and Audit Trails
A proper e-signature platform maintains a complete audit trail for every signed document, including:
- Timestamp of each action (document opened, fields completed, signature applied)
- IP address of the signer
- Email address used to access the document
- Browser and device information
- Hash of the document to detect any post-signing tampering
This audit trail serves as evidence of the signing ceremony and can be used in court to verify the authenticity of the signature.
Getting Started with E-Signatures
DottiSign makes it easy to start using electronic signatures immediately. Upload any PDF, drag and drop signature fields, and send to your recipients. No account required for signers — they just click the link in their email and sign.