What is Remote Signing?

Remote signing is the process of electronically signing documents using third-party trust service providers (TSPs). It allows individuals and entities to securely sign documents using their digital signature. Remote signatures eliminate the need for paper documents and the signatory’s physical presence.

Components of remote signing

Digital signatures

A digital signature is the electronic equivalent of a handwritten signature. Digital signature creation involves cryptographic techniques to uniquely link the signature to the signatory and ensure the integrity of electronic documents.

Certificates and keys

A digital certificate is a document issued and signed by a certificate authority (CA) containing the holder’s identifying information. The holder generates a pair of public and private keys, and the public key is included in the certificate.

Remote signing centralizes digital certificates and keys on a secure server managed by the TSP, ensuring secure access.

Authentication methods

Authentication methods are used in remote signing to verify an entity’s identity before they can sign the document. Common methods include:

Password-based authentication: The simplest form of authentication that allows a user to verify their identity by entering their credentials.
Two- or multi-factor authentication: 2FA requires two forms of identification, a password and a one-time code sent to the user’s smartphone. MFA expands on it by adding security questions, biometric verification or tokens.
Biometric authentication: Verifies the user’s identity using unique biological features, such as fingerprints and facial recognition.
Token-based authentication: Uses software tokens to generate time-sensitive one-time passwords (OTPs) for identity verification.

How remote signing works

When signing remotely, the signatory uses a web-based application or a remote server to create a digital signature.

The document to be signed is first sent securely to the server holding the signatory’s certificate and private key.

Once the document is on the server, it undergoes a hashing process. This process generates a unique fixed-length string — a hash value. This value is encrypted using the signer’s private key, creating a digital signature. This signature is uniquely linked to the signer and is added to the document along with their identity details.

After signing, the document is sent back to the recipient who verifies the signature using the public key obtained from the signer’s digital certificate. This ensures that the signature was created by the holder of the corresponding private key.

The recipient then verifies the integrity of the document by recalculating its hash value and comparing it with the hash value derived from the digital signature. Matching hash values confirm the integrity and non-repudiation of the signed data.

Benefits

Ease of use — allows signing from anywhere with internet access
Process efficiency — speeds up document processing and approval cycles
Enhanced security — ensures documents are signed and transmitted securely
Cost savings — reduces paper usage and administrative workload
Centralized auditing — provides a clear digital trail for tracking documents, ensuring legal compliance

Legal basis for remote signing

The eIDAS Regulation (910/2014) provides the legal framework for electronic identification and trust services in the EU. It mandates that “an electronic signature shall not be denied legal effect and admissibility as evidence in legal proceedings solely on the grounds that it is in an electronic form”.

The latest version, eIDAS 2.0, has introduced the use of remote devices for the secure creation and management of electronic seals and e-signatures.

The regulation also introduced EU digital identity (EUDI) wallets, allowing all citizens to verify their identities both online and offline. This system enables individuals to authorize qualified electronic signatures (QES) and stamps remotely.

Use cases

Sales contracts: Remote signing reduces turnaround times by enabling parties to finalize agreements without physical meetings
Employee agreements: Enables remote employees to sign contracts digitally, expediting the hiring process.
Business transactions: Accelerates transactions by eliminating delays associated with physical paperwork and allowing all parties to sign documents from any location.
Financial documents: Streamlines the signing of financial documents, including loan agreements, investment contracts, and banking forms.
Government forms: Remote signing of government forms and permits improves efficiency in public sector services.

Legal documents: Ensures accessibility and convenience while maintaining the integrity of legal documents, such as affida

*Disclaimer: This content does not constitute legal advice. The suitability, enforceability or admissibility of electronic documents will likely depend on many factors such as the country or state where you operate, the country or state where the electronic document will be distributed as well as the type of electronic document involved. Appropriate legal counsel should be consulted to analyze any potential legal implications and questions related to the use of electronic documents.