Legal basis

• Civil Code 2015;
• Law on Electronic Transactions of Vietnam 2005;
• Decree 130/2018/ND-CP guiding the Law on Electronic Transactions on digital signatures and digital signature authentication services. 

Content

If a traditional contract needs a signature on paper to show the will of an individual or organization to establish a transaction, an electronic contract needs an electronic signature to ensure the completeness of the contract.

According to Clause 1 Article 21 of the Law on Electronic Transactions 2005: “An electronic signature is a signature created in the form of words, letters, numbers, symbols, sounds or other forms by electronic means, attached to or logically associated with the data message, capable of confirming the signer of the data message and confirming his or her consent to the content of the signed data message”.

Thus, an electronic signature has the following main characteristics:

Firstly, the constituting components of an electronic signature include: letters, numbers, symbols, sounds or other forms by electronic means, attached or logically combined with data messages.

Second, the digital signature is a particularly important factor because an electronic signature is created, sent, received and stored by electronic means.

Third, the signer’s consent to the content of the signed data message has the value of determining the intention of the subject when establishing the act of signing an electronic signature.

Currently, there are three common ways that parties to a transaction use to sign with an electronic signature:

• Digital signature:

Parties use a dedicated platform and equipment provided by a digital signature certification service company to create digital signatures. This digital signature is then inserted electronically into the contract to be signed. Single-digit signatures are used in large-value contracts, which are often used when organizations submit customs declarations, pay taxes online, issue electronic invoices,….

• Scan signature:

The contract is believed by the signer from the electronic data file and the signer of each party signs directly on the paper document of the contract with a live signature. The contract together with the signature on the contract will be converted into electronic form (for example, by scanning pictures and scanned images (electronic data files) of the signed contract, and then sent by Scan signatures are used a lot in contracts with many parties and the parties are not in the same place to be able to sign the same copy of the contract.Scan signature is especially common in related contracts. related to multinational transactions and has a foreign element in terms of the subject.

• Visual signature:

The signer inserts an image of the signer’s signature in the signature box of the contract’s electronic data file; and (ii) the contract’s electronic data file (signed by a visual signature on that electronic contract) sent by email. Image signatures are used a lot in contracts of small value but signed many times and repeatedly, and the signer is not in the same place where the contract can be printed and signed with a live signature.

In fact, in entering into contracts of great value and complexity, scan signatures are the most common, image signatures are less common and digital signatures are the least common. In contrast, digital signatures are more common than scanned signatures and image signatures in civil contracts of a consumer nature.

Above is our consultancy about this issue. If you need more detailed advice and answers as well as how to access this service, please contact directly the Deputy Director of Sales: Lawyer Nhat Nam via hotline: 0912.35.65.75, 0912.35.53.53 or call the free legal consultation hotline 1900.6575 or send a service request via email: lienheluathongbang@gmail.com

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