After reading “What is the legal recognition of electronic signatures?”, read also “May a foreign state make a request for assistance in the investigation or prosecution of a money laundering offense?”
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An electronic signature relating to an electronic document or electronic data message shall be equivalent to the signature of a person on a written document.
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A “digital signature” is likewise referred to as an electronic signature.
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To identify the party sought to be bound by an electronic signature, numerous factors are taken into consideration.
What is an electronic signature? The law says:
“Electronic signature” refers to any distinctive mark, characteristic and/or sound in electronic form, representing the identity of a person and attached to or logically associated with the electronic data message or electronic document or any methodology or procedures employed or adopted by a person and executed or adopted by such person with the intention of authenticating or approving an electronic data message or electronic document. (Section 5.5.e, Republic Act No. 8792)
Under the Rules on Electronic Evidence, a “digital signature” is likewise referred to as an electronic signature which consists of a transformation of an electronic document or an electronic data message using an asymmetric or public cryptosystem wherein a person can accurately determine if the transformation was created using the key pair used to create a digital signature that corresponds to the signer’s key pair used to verify a digital signature. (Section 1, Rule 2, A.M. No. 01-7-01-SC Re: Rules on Electronic Evidence)
An electronic signature relating to an electronic document or electronic data message shall be equivalent to the signature of a person on a written document if the signature is an electronic signature and is proved by showing that a prescribed procedure existed that is not alterable by the parties interested in the electronic document.
What is the legal recognition of electronic signatures? The law says:
An electronic signature is legally recognized when it existed under the following conditions:
- A method is used to identify the party sought to be bound and to indicate said party’s access to the electronic document necessary for his consent or approval through the electronic signature;
- Said method is reliable and appropriate for the purpose for which the electronic document was generated or communicated, in the light of all circumstances, including any relevant agreement;
- It is necessary for the party sought to be bound, in order to proceed further with the transaction, to have executed or provided the electronic signature; and
- The other party is authorized and enabled to verify the electronic signature and to make the decision to proceed with the transaction authenticated by the same (Section 8.8, R.A. No. 8792)
The parties may agree to adopt supplementary or alternative procedures provided that the conditions mentioned above are complied with. Moreover, for paragraphs (a) and (b) above, the factors to be taken into account include the sophistication of the equipment used by each of the parties; the nature of their trade activity; the frequency at which commercial transactions take place between the parties; the kind and size of the transaction; the function of signature requirements in a given statutory and regulatory environment; the capability of communication systems; compliance with authentication procedures set forth by intermediaries; the range of authentication procedures made available by any intermediary; compliance with trade customs and practice; the existence of insurance coverage mechanisms against unauthorized messages; the importance and the value of the information contained in the data message; the availability of alternative methods of identification and the cost of implementation; the degree of acceptance or non-acceptance of the method of identification in the relevant industry or field both at the time the method was agreed upon and the time when the data message was communicated; and any other relevant factor. (Annex II, Implementing Rules and Regulations, R.A. No. 8792)
Alburo Alburo and Associates Law Offices specializes in business law and labor law consulting. For inquiries regarding illegal dismissal, you may reach us at info@alburolaw.com, or dial us at (02)7745-4391/0917-5772207.
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