When a simple e-signature is not enough
When South Africa's ECT Act calls for an advanced electronic signature, when an ordinary e-signature will do, and how to decide for each document you sign.
By Achekam · · 4 min read · For Running a business businesses in South Africa
Most South African businesses now sign quotes, supplier agreements and employment letters on screen. It is quicker, the signed copy files itself, and nobody has to drive across town for a wet-ink signature. Then a document arrives with a note saying it must carry an "advanced" electronic signature, and the question becomes whether everything else you have signed electronically was good enough.
Usually it was. South African law draws a line between signatures the law itself demands and signatures the parties choose to use, and only the first group raises the bar. This guide explains where that line sits, what an advanced electronic signature involves, and how to decide case by case.
The Act that sets the rules
The Electronic Communications and Transactions Act 25 of 2002 governs electronic signatures. The government's page records that it commenced on 30 August 2002 and has since been amended by the Consumer Protection Act 68 of 2008 and the Cybercrimes Act 19 of 2020. The text quoted below is the Act as originally published on that page; later amendments are not reflected in it, so check the current text before relying on a fine point.
The rule sits in section 13, which you can read in full on the section 13 page of the ECT Act, covering when an electronic signature is valid and when the law requires an advanced one.
Where a law requires a signature
The first rule is the strict one. The Act as published says that where a law requires a person's signature without specifying the type, that requirement is met for a data message only if an advanced electronic signature is used.
The trigger is a requirement in law. If a statute or regulation says a document must be signed, and the document is electronic, a simple click-to-sign or a typed name does not meet it. Something stronger is needed.
Note what this rule does not cover. A signature that exists only because your business or your customer wants one is not a signature "required by law" in this sense.
Where the parties agree to sign electronically
The second rule covers the much larger everyday group. The Act as published says that where the parties to an electronic transaction require an electronic signature without agreeing its type, any method that identifies the person, shows their approval of the information, and is appropriately reliable for the purpose meets the requirement.
That covers most commercial paperwork: a customer accepting a quotation, a supplier signing a service agreement, a landlord and tenant exchanging an addendum they have agreed to sign online. What matters is that the method identifies the signer, shows they approved the content, and is reliable enough given what is at stake. A clear audit trail and a completion record go a long way towards showing all three.
What an advanced electronic signature involves
Advanced electronic signatures come from providers holding accreditation from the South African Accreditation Authority, and that is what sets them apart from an ordinary e-signature. The Authority publishes the list of providers holding that status, including those offering cloud-based advanced electronic signatures, and the list can change, so check it when you need one. If a document needs one, the signer will normally have to go through that provider's identity checks before signing.
That extra step has a cost in time and effort, which is why it makes sense to keep advanced signatures for the documents that need them rather than using them for everything. It also means planning ahead: a signer who has never been through a provider's checks cannot usually sign an urgent document the same afternoon.
Simple signatures in Achekam
Achekam's e-signatures are simple electronic signatures. The completion certificate cites section 13 of the ECT Act and states that they are not advanced electronic signatures, so they are not a way to meet a legal requirement for an advanced one.
For everything in the second group, the workflow is built to show identity and approval. Any document can be sent for signature with signature and initials fields placed on it, to signers in order or all at once, with an expiry and reminders. An uploaded PDF, a document composed from text blocks with merge fields, or a saved template can be sent. When signing is complete, the signed PDF and a completion certificate are filed back into Documents. How e-signature certificates differ by country explains what that certificate records.
Deciding document by document
Before sending something for signature, ask three questions:
- Does a law require this document to be signed? If yes, and you are signing electronically, plan for an advanced electronic signature through a provider with the Authority's accreditation.
- Has the other party, or the recipient, specified a type of signature? If a bank, a regulator or a counterparty asks for an advanced signature, use one.
- If neither applies, is the method reliable enough for what is at stake? For routine agreements, a simple signature with a completion certificate is normally the practical choice.
| Document | Usual route |
|---|---|
| Quotation accepted by a customer | Simple e-signature |
| Supplier or service agreement | Simple e-signature, unless the parties agree otherwise |
| A document a statute says must be signed | Advanced e-signature, or wet ink |
| Documents for SARS | Check SARS's own requirements |
Documents for the tax authority raise their own questions, covered in electronic signatures on SARS documents. Keep the signed copy and its certificate together, whatever route you used, since the record of how a document was signed is what you will rely on if it is ever disputed. Where you are unsure whether a law requires a signature, ask your attorney before you sign rather than after.
General guidance only, not advice on your own circumstances. Tax and payroll rules change: check the current position with the authority or your adviser.
