Telecopied signatures: Overview, definition, and example
What are telecopied signatures?
Telecopied signatures refer to signatures that are transmitted via fax or other telecommunication means, such as a scanner, to electronically reproduce a person’s signature on a document. These signatures, also known as facsimile or faxed signatures, are used to execute contracts or agreements remotely, allowing parties to sign documents without being physically present. While not as common today, they were once widely used in business and legal contexts, especially when speed or geographic distance made in-person signatures impractical.
Telecopied signatures are typically considered valid in many jurisdictions, depending on the laws governing contract execution and electronic signatures in that area. However, they may still be subject to certain conditions or limitations, particularly for documents requiring a high level of authentication or legal formalities.
Why are telecopied signatures important?
Telecopied signatures are important because they allow for the efficient execution of documents when physical signatures are not feasible, helping businesses and individuals save time and avoid delays in processing contracts or agreements. They are particularly useful for situations where parties are located in different geographic areas and need to execute documents quickly.
While telecopied signatures can facilitate faster business transactions, it’s important to note that their legality and acceptance depend on local laws and the nature of the document being signed. For example, telecopied signatures may not be suitable for certain legal documents, such as wills or deeds, that require original signatures.
Understanding telecopied signatures through an example
Imagine a company, ABC Corp., is negotiating a contract with a vendor located in another state. Both parties agree to the terms, but due to time constraints, they need to finalize the contract quickly. Instead of mailing a physical copy of the contract for signature, ABC Corp. sends the document to the vendor via fax, and the vendor signs and returns it by fax as well. Both parties now have a valid contract, executed with telecopied signatures, allowing them to proceed with the business arrangement.
In another example, a business executive traveling overseas needs to sign a time-sensitive agreement. Rather than waiting to sign the document in person, they fax their signed copy back to the home office. This enables the company to meet its deadline without waiting for the executive's return.
An example of a telecopied signature clause
Here’s how a telecopied signature clause might appear in a contract:
“The parties agree that a telecopied (faxed) signature on this Agreement shall be deemed as valid and enforceable as an original signature for all purposes. The parties further agree that the delivery of this signed Agreement by fax or electronic transmission shall have the same effect as the delivery of an original signed Agreement.”
Conclusion
Telecopied signatures offer a convenient solution for executing contracts and documents remotely, particularly in situations where physical presence or delays would hinder business operations. While they are generally accepted in many jurisdictions, their legality and appropriateness can depend on the type of document and local regulations. Understanding when and how telecopied signatures can be used ensures that businesses can streamline processes while maintaining legal compliance.
This article contains general legal information and does not contain legal advice. Cobrief is not a law firm or a substitute for an attorney or law firm. The law is complex and changes often. For legal advice, please ask a lawyer.