New Zealand eSignature Compliance Note

Are eSignatures legal in New Zealand? What laws primarily govern eSignatures?

ESignatures are legal in New Zealand, primarily governed by the Contracts and Commercial Law Act 2017 (“CCLA”) and the Electronic Transactions Act 2002.

What is a New Zealand eSignature? What are the requirements for its validity?

New Zealand does not distinguish between different types of eSignatures. According to the relevant provisions of the CCLA, an eSignature is deemed to have the same level of enforceability and acceptability as a “wet signature” if it meets the following requirements:

• The signing method must identify the signatory’s identity and indicate their intention to sign the relevant document or transaction;
• The signing method must be appropriately reliable for the purpose and circumstances of the required signature; and
• The person providing the signature must consent to the signature method used.

If an eSignature meets the following requirements, it can be assumed that the eSignature is “as reliable as possible”:

• The manner in which the eSignature is created is linked to the signatory and not associated with any other person;
• The method of creating the eSignature is controlled by the signatory, not subject to the control of any other person, and any changes made to the eSignature after the time of signing are detectable
• If the purpose of the signature required by law is to ensure the integrity of the information associated with it, any changes made to that information after the signature are detectable.

In what scenarios can eSignatures typically be used in New Zealand?

ESignatures can be used in the following scenarios, but are not limited to:

• HR documents, such as employment contracts, benefit documents, and other new employee onboarding processes
• Business agreements between corporate entities, including NDAs, procurement documents, and sales agreements
• Consumer agreements, including new retail account opening documents
• Certain real estate documents, such as lease agreements
• Intellectual property licenses, including patents, copyrights, and trademarks

In what scenarios are traditional signatures required in New Zealand?

Traditional signatures are required in the following scenarios:

• Powers of attorney (including enduring powers of attorney)
• Affidavits, statutory declarations, or other documents provided under oath or non-religious oath
• Wills and other testamentary directions
• Negotiable instruments (such as checks)
• Bills of lading
• Proclamations
• Information that must be provided in writing in person or by registered mail
• Notices that must be attached to anything or left or displayed anywhere;
• Documents filed under statutory provisions that must be exhibited or served
  • Warrants or other documents for entry into premises
  • Searches of any person, place, or thing
  • Seizure of any item (e.g., search warrants and seizure warrants)
  • Documents explicitly specified under the Fair Trading Act 1986 (e.g., information standards, product safety standards, or service safety standards).