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Electronic Contracts and Signatures

September 16, 2011 by David Fettner Leave a Comment

As business attorneys in Texas, we are often asked whether electronic contracts and signatures are valid in Texas.  In Texas, a record or signature may not be denied legal effect or enforceability solely because it is in electronic form.  Likewise, a contract may not be denied legal effect or enforceability solely because an electronic record was used in its formation.  Additionally, if a law requires a record to be in writing, an electronic record satisfies the law, and an electronic signature satisfies a legal requirements for a signature.  An electronic record or electronic signature is attributable to a person if it was the act of the person.  The act of the person may be shown in any manner, including a showing of the efficacy of any security procedure applied to determine the person to which the electronic record or electronic signature was attributable.

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Commercial transactions involve agreements between businesses. When an agreement between businesses is reduced to writing, the law will often construe the contract against the party that drafted the contract. As business lawyers in Houston, Texas, we often recommend that our clients include language in their contracts sharing the responsibility for drafting in order to prevent the contract being construed against them.

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