ARE ELECTRONIC OR DIGITAL SIGNATURES ON CREDIT APPLICATIONS AND GUARANTEES BINDING?
By Scott Blakeley The Internet is revolutionizing how credit professionals handle credit transactions. Credit professionals are using the Internet for a myriad of credit and financial functions, from credit research and scoring, to automatic invoicing customers through their Web site, to automatic payment posting. Credit departments are loading their Web sites with form credit application and guarantees. But does documenting your e-credit sale allow an electronic or digital signature (e-signature) to have the same legal effect as a handwritten signature from your customer on your credit application? What is the legal status of e-signatures documenting your personal and corporate guarantees over the Internet? A number of states have recently adopted laws that allow the use of digital signatures in commercial transactions. Unfortunately, not all states have adopted e-signature law. And the e-signature laws that have been adopted by the states are not uniform. The U.S. Congress has recent
