RULES FOR THE USE OF THE ELECTRONIC SIGNATURE
Due to the continuous development of technical possibilities and the emerging epidemic situation, the use of various electronic services, including electronic signatures is becoming more and more popular.
In our newsletter we provide information about the possibilities and conditions of validity of electronic signatures.
Due to the epidemic, we have a limited number of different travel options, and we also have to reckon with significant costs during a longer business trip. These circumstances are holding back the momentum of business. An electronic signature can be of great help in bridging this problem. Its use can facilitate everyday business, but there are strict conditions for the validity of a signature, as the signature is not technically personal, so the provability of that the electronic signature was actually placed on the electronic document by an authorized person is particularly important.
| The uniform EU regulation defines three types of electronic signatures: (i) electronic signatures, (ii) electronic signatures with advanced security, and (iii) qualified electronic signatures. The three different categories mean different degrees of security of the electronic signature, to which the Hungarian regulations assign different probative force. Thus, in the case of a document with a qualified electronic signature, the courts presume that the document was signed by the person named in the signature, while in the case of a simple electronic signature, the document is only considered as written, but is not associated with the legal effect of a private document with full probative value. The reason for the differentiation is the usability in different situations; for example, an electronic signature with advanced security may be appropriate for issuing a statement within an organization, but the use of a qualified electronic signature may be required towards third parties. |
| In order to enable an executive officer of the company to sign in the name of the company, by an authorised electronic signature, it is necessary to register the electronic signature of the given person at the court registry. |
| Pursuant to the relevant law, in connection with the entitlement of authorised signature in the name of a company the registration of the specimen of signature of the executive officer or the enpowered person shall be issued by the public notary for the traditional (paper-based) representation of a company by authorised signature. For this a submission of a specimen of signature countersigned by an attorney-at-law is adequate as well. |
In connection with the recording of an electronic signature, the preparation of the specimen of the electronic signature is required under current legislation, which can only be made by a public notary. Based on this, at the request of the company, the Company Register may also contain the specimen of the electronic signature of the person entitled to register the company, which certifies that the given certificate is an authorised electronic signature. It is important to emphasize that an electronic signature is only considered as authorised signature after it has been registered in the Company Register.
In the framework of the uniform regulation of the European Union, a specific register lists the service providers that are mutually recognized by the Member States for cross-border authentication, so that electronic signature services provided by these service providers even provides opportunity for electronic court registration, subject to appropriate court proceedings; thus, in the course of company proceedings in Hungary, even a qualified electronic signature provided by a trust service provider governed by the law of another Member State may be used. The list of these service providers is available at https://webgate.ec.europa.eu/tl-browser/#/. In Hungary, three service providers provide qualified electronic signatures, these are NISZ Zrt., Netlock Kft., and Microsec Zrt.
The registration of an electronic authorised signature of a company therefore requires three steps: 1. concluding a contract with the appropriate service provider; 2. preparation of an electronic specimen of signature certified before a public notary; and 3. conducting the registration procedure at the Court Registry.
The possibility of electronic signatures and company signatures greatly facilitates the stationary case management and the uninterrupted course of the proceedings caused by the epidemic situation.
*
This summary is intended to raise awareness and does not constitute legal advice.
If you have any questions or need further information, please do not hesitate to contact us.
Recent Comments