Two laws, one goal
The ESIGN Act (Electronic Signatures in Global and National Commerce Act, 2000) is federal. The Uniform Electronic Transactions Act (UETA, 1999) is a model law adopted by 49 states, D.C., and the territories. Both establish the same core principle: a record or signature may not be denied legal effect solely because it is electronic.
What they have in common
- An electronic signature satisfies any law requiring a signature.
- An electronic record satisfies any law requiring a writing.
- Neither dictates which technology you must use — both are deliberately technology-neutral.
Where they differ
- Scope. ESIGN applies to transactions in or affecting interstate and foreign commerce. UETA applies to transactions where both parties have agreed to conduct business electronically.
- Preemption. ESIGN generally preempts state law — but it yields to a state that has adopted UETA without modification. This is why your platform needs to track which state's version applies.
- Consumer protections. ESIGN contains specific consumer-consent requirements that UETA does not spell out in the same detail.
The consent rule you can't skip
For consumer transactions, ESIGN requires that before you deliver records electronically, the consumer:
- Receives a clear statement of their right to a paper copy
- Consents electronically in a manner that reasonably demonstrates they can access the records
- Is told the hardware and software requirements
Skipping the consumer-consent step is the single most common way a compliant-looking e-signature flow becomes legally fragile.
What this means for your workflow
Build consent capture into the signing flow itself, log the version of the disclosure shown, and retain it with the audit trail. When the two laws are satisfied at the moment of signing, you never have to reconstruct compliance after the fact.