The Security of Electronic Signatures
By now most of us have probably entered into some form of contract through email, the internet, or some other electronic means. A person can avoid the physical need to go into a bank to manage their finances if they so choose just as easily as they can do most of their shopping online.
Ontario’s Electronic Commerce Act governs the contracts that we enter into electronically. Most contracts (Wills, land transfers, and negotiable instruments excluded) can be entered into electronically as long as they are made voluntarily and on consent.
A signature is still needed to accept the offer being made. In some instances the signature can be as simple as a mouse click. Unfortunately, these mouse clicks can easily be made by mistake or by someone, such as a child, who is incapable of entering into a contract on their own. The Electronic Commerce Act protects against these types of mistakes. It contains language that allows a contract made out of mistake to be voided and any monetary commitments being rescinded or returned.
The safeguards provided by the Electronic Commerce Act recognize how easy it has become to enter into an electronic contract. It also recognizes how easy it has become for one party to manipulate a contract to their advantage or to fraudulently accept an offer on behalf of an innocent person.
The next time you go online to buy something new you can do so knowing that there is legislation aimed to protect you in the event that something goes wrong.
