Are Electronic Signatures as Good as Wet Ink? Understanding the Legal Landscape
- 24 Jul 2025
In today’s fast-paced digital world, clients and businesses alike are increasingly turning to electronic signatures to streamline transactions. But are they legally sound? The short answer is yes—provided certain conditions are met.
Under the Electronic Transactions Act 2000 (NSW) (ETA), electronic signatures are legally valid if they meet three key requirements: identification, reliability, and consent. This means the signatory must be identifiable, the method used must be reliable for the purpose, and all parties must agree to the use of electronic signatures.
Electronic signatures can range from typed names in emails to digital signatures generated through secure platforms. Courts have consistently upheld their validity, even in cases where only a first name was typed at the end of an email. However, the context and intent behind the signature are crucial. For example, a casual email may not suffice if it doesn’t clearly indicate an intention to be legally bound. On the other hand, emails can suffice in many situations, even to transfer title to landholdings, so care must be taken when you make promises even in an email.
It’s also important to note that not all documents can be signed electronically. Certain legal instruments—such as Wills, affidavits, and some court documents—may require traditional execution methods or have specific witnessing requirements.
At Maclarens Lawyers, we help clients navigate the complexities of electronic execution. Whether you're signing a commercial lease, executing a deed, or entering into a digital contract, our team ensures your documents are compliant and enforceable.
Need help with digital document execution? Contact us today to ensure your electronic transactions are legally sound and strategically managed.
For professional legal advice, contact Maclarens Lawyers on (02) 9682 3777
