REGULATION OF ELECTRONIC SIGNATURE IN LATVIA

According to Section 4 part one of the Law on Legal Force of Documents, for a document to have legal force, the author, date and signature of the document must be included in it. We live in a time where everyday life processes are largely digitized. The same applies to such processes as concluding contracts or engaging in contractual obligations. Hence, manual signing of documents is also digitized and replaced by electronic signatures, therefore it is important to take a deeper look at the available types of electronic signatures in Latvia and what opportunities they provide.

Section 1 of the Law of Electronic Documents provides 2 types of definitions for the electronic signature, which derives from European Parliament and Council Regulation (EU) No. 910/2014, 23rd of July, 2014:

  1. electronic signature – electronic data added to other electronic data or logically related to them and used by the signatory to sign;
  2. secure electronic signature – “qualified electronic signature” is an enhanced electronic signature created with a qualified electronic signature creation device that is based on a certificate of qualified electronic signature.

Electronic signature

From the definition provided in the Law of Electronic Documents, it can be concluded that an electronic signature is the data added to the document to be signed – the signer’s name, surname, date of signing or even a digital signature that is similar to a person’s handwritten signature. Depending on the type of electronic signature, the previously mentioned data can be added in different combinations.

Section 3 part one of the Law of Electronic Documents states that the requirement for the written form of the document in relation to the electronic document is fulfilled if the electronic document has an electronic signature and the electronic document meets other requirements set out in the regulatory acts. On the other hand, Section 3 part two of the said law states that an electronic document is considered signed by hand if it has a secure electronic signature. An electronic document is considered hand-signed also in cases where it has an electronic signature and the parties have agreed in writing on signing the electronic document with an electronic signature. In this case, the written agreement must be drawn up and signed on paper or electronically with a secure electronic signature.

It can be concluded from the above mentioned that electronic signature and secure electronic signature, although they sound like the same type of signatures, are significantly different from each other. Basically, from the definition given in the Law of Electronic Documents, it can be concluded that electronic signature can be used in private relations, for example, between private individuals or between legal entities, with a condition that the parties have agreed on the use of such an electronic signature in writing, that is, in a contract or a separate agreement. Only in such a case would the document be considered as signed by hand and would acquire legal force accordingly.

Secure (qualified) electronic signature

Compared to a simple electronic signature, a secure electronic signature is a signature that, in addition to the data of electronic signature, also contains an electronic signature certificate issued by a qualified trusted service provider, as well as a time stamp. In Latvia such a certificate is issued only by the State Joint Stock Company “Latvijas Valsts radio un televīzijas centrs”.

Section 3 part five of the Law of Electronic Documents states that in the circulation of electronic documents between state and local government institutions or between these institutions and natural and legal persons, an electronic document is considered signed if it has a secure electronic signature and a time stamp.

Considering the above-mentioned, it can be concluded that a document, signed by a natural person with a secure electronic signature, acquires legal force without a separate agreement with the other party or the addressee of the particular document. Moreover, considering that the secure electronic signature in all cases contains data about the signatory, that is, name, surname and an electronic certificate issued to the specific person, it is possible to prove a person’s identity in the electronic environment with a secure electronic signature.

eStamp

The term or definition of an eStamp is not stipulated in the regulatory acts. eStamp is a paid service available in Latvia for legal entities, which is provided by the State Joint Stock Company “Latvijas Valsts radio un televīzijas centrs”.

eStamp is not considered as a secure electronic signature in the sense of the Law of Electronic Documents, but it rather is an organization’s electronic stamp that is attached to the document. eStamp confirms the invariability of the content of the particular document, affiliation to the organization (origin), as well as showing the exact time of the addition of the eStamp. Such a solution is very useful for organizations that prepare documents using the tools offered by digital systems. eStamp is intended for documents in which the information is automatically obtained or generated from the information in the organization’s computer system at a certain moment, and a person has not performed any actions with the particular document.

Summary

  1. electronic signature can be used in private relations, for example, between private individuals or between legal entities, with a condition that the parties have agreed on the use of such an electronic signature in writing;
  2. document, signed by a natural person with a secure electronic signature, acquires legal force without a separate agreement with the other party or the addressee of the particular document;
  3. a secure electronic signature certifies a person’s identity in the electronic environment;
  4. eStamp is not considered as a secure electronic signature in the sense of the Law of Electronic Documents;
  5. eStamp is intended to be used by legal entities.

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