Electronic Signatures in Global and National Commerce Act

Electronic Signatures in Global and National Commerce Act
Short title	Electronic Signatures in Global and National Commerce Act
Long title	An Act to establish the legal equivalence of electronic signatures in interstate and foreign commerce with handwritten signatures
Enacted by	United States Congress
Citations	Public Law 106-229
Effective date	October 1, 2000
Administered by	Federal Trade Commission, Department of Commerce

Electronic Signatures in Global and National Commerce Act is a federal law that was enacted by the United States Congress and signed into law by President Bill Clinton on June 30, 2000, with the aim of facilitating the use of electronic signatures in interstate commerce and foreign commerce, as recognized by the World Trade Organization and the United Nations Conference on Trade and Development. The law was designed to provide a legal framework for the use of electronic signatures, which are used by companies such as Amazon, eBay, and PayPal, and to promote the growth of electronic commerce in the United States, as encouraged by the National Science Foundation and the Department of Commerce. The Electronic Signatures in Global and National Commerce Act has been influenced by the work of Alan Greenspan, Ben Bernanke, and other economists at the Federal Reserve System, and has been shaped by the Gramm-Leach-Bliley Act and the Sarbanes-Oxley Act.

Introduction

The Electronic Signatures in Global and National Commerce Act was introduced in the United States House of Representatives by Representative Thomas Bliley and in the United States Senate by Senator Spencer Abraham, with the support of Senator Orrin Hatch and Senator Patrick Leahy, and was passed with bipartisan support, as noted by the Library of Congress and the Congressional Budget Office. The law was designed to address the growing need for a legal framework to support the use of electronic signatures in commerce, as recognized by the International Chamber of Commerce and the World Intellectual Property Organization. The Act has been influenced by the work of Lawrence Lessig, Jonathan Zittrain, and other scholars at Harvard University and Stanford University, and has been shaped by the Digital Millennium Copyright Act and the Communications Decency Act.

Legislative History

The Electronic Signatures in Global and National Commerce Act was the result of a long process of negotiation and compromise between different stakeholders, including the American Bar Association, the National Association of Secretaries of State, and the Chamber of Commerce of the United States, as well as companies such as Microsoft, IBM, and Intel. The law was influenced by the work of Judge Richard Posner and other jurists at the United States Court of Appeals for the Seventh Circuit, and was shaped by the Uniform Commercial Code and the Uniform Electronic Transactions Act. The Act was also influenced by international agreements, such as the United Nations Convention on the Use of Electronic Communications in International Contracts, which was adopted by the United Nations General Assembly.

Key Provisions

The Electronic Signatures in Global and National Commerce Act establishes the legal equivalence of electronic signatures with handwritten signatures, as recognized by the Supreme Court of the United States and the Federal Trade Commission. The law defines an electronic signature as "an electronic sound, symbol, or process attached to or logically associated with a contract or other record and executed or adopted by a person with the intent to sign the record," as noted by the National Conference of Commissioners on Uniform State Laws and the American Law Institute. The Act also establishes the requirements for the use of electronic signatures, including the need for consent, disclosure, and authentication, as required by the Fair Credit Reporting Act and the Gramm-Leach-Bliley Act.

Implementation and Enforcement

The Electronic Signatures in Global and National Commerce Act is administered by the Federal Trade Commission and the Department of Commerce, with the support of the National Institute of Standards and Technology and the National Telecommunications and Information Administration. The law is enforced by the Federal Trade Commission and the Department of Justice, as well as by state attorneys general, such as the New York State Attorney General and the California Attorney General. The Act has been implemented by companies such as VeriSign, Entrust, and RSA Security, and has been influenced by the work of Bruce Schneier and other experts in the field of computer security.

Impact and Controversies

The Electronic Signatures in Global and National Commerce Act has had a significant impact on the growth of electronic commerce in the United States, as noted by the United States Census Bureau and the Bureau of Economic Analysis. The law has facilitated the use of electronic signatures in a wide range of transactions, including online banking and online shopping, as recognized by the Federal Reserve System and the Securities and Exchange Commission. However, the Act has also been the subject of controversy, particularly with regard to the issue of consumer protection, as noted by the Consumer Federation of America and the National Consumers League.

Amendments and Updates

The Electronic Signatures in Global and National Commerce Act has been amended and updated several times since its enactment, including the Electronic Signatures in Global and National Commerce Act Amendments of 2001, which were signed into law by President George W. Bush, and the America Invents Act of 2011, which was signed into law by President Barack Obama. The law has also been influenced by international agreements, such as the Anti-Counterfeiting Trade Agreement, which was negotiated by the Office of the United States Trade Representative and the European Commission. The Act continues to play an important role in the development of electronic commerce in the United States, as recognized by the National Academy of Sciences and the National Academy of Engineering.

Category:United States federal commerce legislation