eSignature Legality Guide
eSignature Legality in Austria
Austria, as a member of the European Union, has recognized the legal validity of electronic signatures since 1999 through the Federal Signature Law, which was enacted following the adoption of the EU Directive in 1999. In 2016, Austria implemented the EU eIDAS Regulation, which governs electronic identification and trust services for electronic transactions.
E-Signature Legality Summary
According to Austrian law, a handwritten signature is not always necessary for a contract to be valid. Agreements are generally enforceable if competent parties reach consensus, whether that agreement is made verbally, electronically, or in writing (Sec. 883 General Civil Code). In the event of a dispute, parties may need to provide evidence in court. Modern digital transaction management platforms can generate electronic records that are admissible as evidence under Sec. 292 et seq. of the Civil Procedure Code, supporting the contract’s existence, authenticity, and acceptance.
Furthermore, Regulation (EU) No 910/2014 on electronic identification and trust services for electronic transactions in the internal market (the “eIDAS Regulation”) became effective on 1 July 2016. This regulation replaced the e-Signatures Directive (1999/93/EC) and is directly applicable in all 28 EU member states.
The eIDAS Regulation is technology-neutral and establishes three categories of electronic signatures: SES, AES, and QES. Article 25(1) states that an electronic signature cannot be denied legal effect or admissibility as evidence in legal proceedings solely because it is in electronic form or does not meet QES requirements. Articles 25(2) and (3) grant QES the same legal status as handwritten signatures and ensure that a QES recognized in one EU member state is accepted in all others. Recital 49 allows each country to set its own rules regarding which type of electronic signature is required in specific situations.
Notable Changes in E-Signature Law Since 2020
None.
Documents That May be Signed Electronically
Standard Electronic Signatures (SES) are generally suitable for the following situations:
- HR-related documents, such as standard employment contracts (excluding those with apprentices), non-disclosure agreements, privacy statements, benefits forms, and other onboarding paperwork, except for termination notices
- Business contracts between companies, including NDAs, purchase orders, order confirmations, invoices, procurement documents, sales and distribution agreements, and service contracts
- Consumer contracts, except for consumer loan agreements, such as new account opening forms, sales and service terms, software licenses, purchase orders, order confirmations, invoices, shipping documents, user guides, and policies
- Residential and commercial leases (excluding provisions that limit tenant rights, such as fixed lease terms or rent markups above the statutory base)
- Service contracts and software license agreements
- Licenses for copyrights, trademarks, and patents
- Transfers of intangible property (e.g., assignments of patents or copyrights), except for agreements on employee invention ownership
Cases where a type of electronic signature other than SES is required include:
- AES – Auditors must use an AES to electronically sign transparency reports or certify the completeness of data in the auditor register (Sec. 24, 25 Auditor Quality Assurance Act)
- AES – Electronic signatures by judicial and administrative authorities must be AES (Sec. 19(1) E-Government Act; Sec. 89c(3) Judicial Organization Act)
- QES – Employment contracts with apprentices (Lehrlinge) (§§ 9(4), 12(1) Job Training Act)
- QES – Agreements regarding the ownership of employee inventions (Sec. 7(1) Austrian Patent Act)
- QES – Stand-alone guarantees to fulfill a third party’s obligation, if made by individuals outside their business or professional activities (Sec. 1346(2) General Civil Code)
Further Guidance
Certain transactions are specifically excluded from digital or electronic processes, or require handwritten (wet ink) signatures or formal notarization, which are generally not compatible with electronic signatures or digital transaction management.
- Written form or notarization is required for legal acts in family and inheritance law
- Official certification, judicial or notarial authentication, or a notarial deed (Sec. 1 Notarial Deed Act) is necessary for:
- Agreements between spouses about the division of property acquired during marriage
- Contracts for sale, exchange, annuity, or loans between spouses
- Debt declarations from one spouse to the other
- Donation contracts between spouses if the property is not delivered to the recipient spouse
- Legal acts involving blind individuals
- Formal notarization is required for declarations, legal acts, or petitions to be entered in the land register (Section 31, Land Register Act), company register (Section 11, Company Register Act), trademark register (Section 28, Trademark Act), patent register (Section 64(6), Patent Act), or other official registers
- Lease contract provisions that are not in the tenant’s interest (e.g., fixed terms or rent markups above the statutory base) (Section 16, Tenancy Act)
- Employee consent to surveillance systems, if the consent is to be irrevocable for the specified period (Section 10(2) Employment Contract Law Amendment Act)
- Changes to employment contracts, including those related to maternity/paternity, study leave, reduced working hours, or leave to care for ill or dying relatives
- Formal notarization for articles of incorporation of a limited liability company
- Formal notarization for the transfer of shares in a limited liability company
Austria, as a country with a tiered eSignature legal model, recognizes Qualified Electronic Signatures (QES), which require independent accreditation by an approved certification authority. Although QES is only mandatory for certain transactions, Austria, as an EU member, follows ETSI (European Telecommunications Standards Institute) standards for QES technical requirements. Additionally, Austria is among the few countries where an Advanced Electronic Signature (AdES) can, in specific cases, substitute for a QES. An AdES does not need approval from an Austrian certification body but must use digital signature technology and may need to meet certain ETSI standards. Austria, along with other EU countries, maintains a publicly accessible list of authorized qualified electronic certificate providers.
[1] An AES, or “advanced electronic signature,” is a type of electronic signature that: (a) is uniquely linked to the signer; (b) can identify the signer; (c) is created using means under the signer’s sole control; and (d) is connected to the signed data so that any changes can be detected.
[2] A QES is a digital signature that meets specific government requirements, including use of a secure signature creation device, and is certified as ‘qualified’ by the government or an authorized third party.
DISCLAIMER: The content provided on this website is for general informational purposes only and does not constitute legal advice. Laws and regulations may change rapidly, and DocuSign cannot ensure that all information presented here is up to date or accurate. If you have specific legal questions regarding any information on this site, please consult a qualified attorney in your jurisdiction.
Last updated: January 20, 2023