eSignature Legality Guide

None.

An “electronic signature” refers to a method applied to information that can be stored in an electromagnetic record (such as a record created electronically, magnetically, or by other means not directly perceivable by humans and used for computer processing), and which satisfies both of the following conditions:

• It is a method to show that the information was created by the person who applied the method, and
• It is a method to verify whether the information has been modified.

Japan also recognizes Accredited Certification Businesses (“ACBs”), which are authorized to add a mark to an electronic certificate (an electromagnetic record certifying that the user performed the electronic signature) indicating that the business has received accreditation.

With limited exceptions, Japanese law does not require contracts to be in writing or signed to be legally binding and enforceable. Nevertheless, it is standard practice in Japan to prepare written contracts and to sign them electronically and/or affix a company seal or stamp as evidence of the parties’ intention to enter into the agreement.

For the following types of documents, there are generally no restrictions on the use of electronic signatures:

• HR
• Procurement
• Corporate Resolutions
• NDAs
• Software Licensing
• Healthcare
• Banking
• Real Estate
• Lending
• Chattel Paper
• Insurance
• Education
• Life Sciences
• Technology sector
• Documents to notarized
• Documents to be Recorded
• Consumer Transactions
• Government Filings (depends on the type of document)

Japanese law allows contracts to be executed either as hardcopy documents with handwritten signatures or as electronic documents with electronic signatures. However, certain laws or regulations may still require contracts to be executed in paper form.

An electromagnetic record (other than those created by a public official in the course of official duties) is presumed authentic if the electronic signature:

• Is based on appropriate management of codes and items necessary for the signature, ensuring that only the intended person can effectively sign, and
• Is performed by that person in connection with the information stored in the electromagnetic record.

If an electronic signature does not fulfill these requirements and its validity is disputed, the party seeking to rely on the signature may need to provide additional evidence to prove its authenticity. This could include details about how the signer was authenticated, proof that the document was tamper-evident and unaltered, or an audit trail of the signer's actions during the signing process.