Bermuda Electronic Signature Compliance Explanation

Are electronic signatures legal in Bermuda? What laws primarily regulate electronic signatures?

Electronic signatures are legal in Bermuda, and Bermuda electronic signatures are primarily regulated by the Electronic Transactions Act (ETA, revised in 2021) and the Electronic Transactions Regulations of 2002.

What types of electronic signatures are recognized in Bermuda? What are the respective requirements?

Bermuda recognizes three types of electronic signatures: basic electronic signatures, secure electronic signatures, and certified digital signatures.

1. Basic Electronic Signature

ETA defines an electronic signature as: information, an attachment, or a signature table logically associated with the information, used by the signatory to indicate their adoption of the information content.

A basic electronic signature must meet the following four requirements:

• It has a unique connection to the signatory;
• It can identify the signatory (common identification methods include email verification, PIN codes, or timestamps);
• It is created using a method that can be controlled solely by the signatory;
• It is associated with the information it relates to, so that any subsequent changes to the disclosed information are evident.

Basic electronic signatures are typically used for low-risk agreements, internal business communications, and informal contracts.

::: Default eSignGlobal electronic signatures can meet Bermuda’s requirements for basic electronic signatures :::

2. Secure Electronic Signature

In addition to meeting the requirements of a basic electronic signature, a secure electronic signature should also have the following conditions:

• Provide enhanced security through encryption and third-party verification.

Secure electronic signatures are commonly used for commercial agreements, employment contracts, and legal documents.

::: Default eSignGlobal electronic signatures can meet Bermuda’s requirements for secure electronic signatures :::

3. Certified Digital Signature

In addition to meeting the requirements of a secure electronic signature, a certified digital signature should also have the following conditions:

• It needs to be certified by a recognized trust service provider (TSP).

Certified digital signatures are legally equivalent to handwritten signatures under Bermuda law and are typically used for government filings, bank transactions, and regulated industries.

In which scenarios in Bermuda is a traditional signature required?

Traditional signatures are typically required in the following scenarios:

• Wills
• Powers of attorney
• Property transactions