The Uniform Electronic Transactions Act (UETA) allows the use
of electronic records and electronic signatures in any transaction,
except transactions subject to the Uniform Commercial Code. The
fundamental purpose of this act is to remove perceived barriers
to electronic commerce.
The UETA is a procedural statute. It does not mandate either electronic
signatures or records, but provides a means to effectuate transactions
when they are used. The primary objective is to establish the legal
equivalence of electronic records and signatures with paper writings
and manually-signed signatures.
There are many reasons why every state should adopt the Uniform
Electronic Transactions Act.
- UETA defines and validates electronic signatures. An electronic
signature is defined as "an electronic sound, symbol, or
process attached to or logically associated with an electronic
record and executed or adopted by a person with the intent to
sign the electronic record."
- UETA removes writing and signature requirements which create
barriers to electronic transactions.
- UETA insures that contracts and transactions are not denied
enforcement because electronic media are used.
- UETA insures that courts accept electronic records into evidence.
- UETA protects against errors by providing appropriate standards
for the use of technology to assure party identification.
- UETA avoids having the selection of medium (paper vs. electronic)
govern the outcome of any disputes or disagreements, and it assures
that parties have the freedom to select the media for their transactions
by agreement.
- UETA authorizes state governmental entities to create, communicate,
receive and store records electronically, and encourages state
governmental entities to move to electronic media.