eSignature Legality & Law in Thailand

The legality overview

Electronic signatures are legally recognized in Thailand under the Electronic Transactions Act B.E. 2544 (2001) (“ETA”), which ensures that electronic documents are not denied legal effect or enforceability solely due to their format, as long as they meet legal requirements.

While eSignatures are widely used in private sector transactions and some state agencies in Thailand, there are still restricted usage for transactions requiring specific formalities or notarization; which requires the traditional signatures instead.

Despite of that, The Electronic Transactions Development Agency (ETDA) supports e-transaction adoption and has issued guidelines clarifying the ETA’s requirements. These guidelines stated the acceptable eSignature types and ensure compliance with legal standards.

Types of eSignature used

Under Thailand’s Electronic Transactions Act (ETA), an Electronic Signature is defined as symbols, characters, numbers, sounds, or other electronic elements affixed to a data message to identify the signatory and indicate their approval of its content. The ETA recognizes two main types of electronic signatures, supported by guidelines issued by the Electronic Transactions Development Agency (ETDA):

General Electronic Signatures

Based on Section 6 of the ETA, general electronic signatures must meet these following requirements:

• Identify the signatory and show their approval of the document’s content.
• Use a method that is reliable and appropriate for the purpose of the transaction, based on the circumstances or agreement between the parties.Digital signatures

Reliable Electronic Signatures

To meet the criteria for reliability, as stated under Section 26 of the ETA, the signature must:

• Be uniquely linked to the signatory.
• Be under the sole control of the signatory at the time of signing.
• Detect any alterations to the signature or the document post-signing.
• Ensure that any changes to the document’s content after signing are detectable if required for integrity assurance.

Furthermore, the ETDA Guidelines classify electronic signatures into three categories, reflecting on the varying degrees of its reliability:

1. Regular Electronic Signatures: Basic forms such as a stylus signature, clicking an “accept” button, or email signatures.
2. Reliable Electronic Signatures: Digital signatures based on Public Key Infrastructure (PKI).
3. Reliable Electronic Signatures with Certification: Digital signatures validated by a certification authority under the ETA, using PKI with an official certificate.

When selecting the type of electronic signature for a transaction, the parties should consider factors such as legal requirements, transaction value, industry practices, and the reliability needed for the specific use case.

Permitted usages in Thailand

Under Thailand’s Electronic Transactions Act (ETA), electronic signatures are legally recognized and can be used for a broad range of transactions. However, the applicability depends on statutory requirements, practical considerations, and specific use cases.

Documents That May Be Signed Electronically

Electronic signatures may be used for the following categories without formal restrictions:

• General Business Transactions: NDAs, software licensing, agreements in the life sciences, and technology sectors.
• Corporate and Consumer Transactions: HR-related documents, corporate resolutions, educational documents, healthcare forms, and insurance policies.
• Routine Transactions: Consumer agreements and documents not legally requiring traditional notarization or certification.

Transactions Requiring Caution & Prohibited

Electronic signatures are not prohibited but should be used carefully for:

1. Financial and Procurement Activities: Banking, lending, procurement, and chattel paper.
2. Government-Related Filings: Submissions to government entities, especially where traditional processes may still dominate.

The evidentiary weight of electronic signatures in these contexts depends on factors like the method of signature creation, data integrity, and verification of the signatory’s identity.

While electronic signatures are broadly accepted, some transactions remain mandatory to be signed with wet signatures, particularly for:

1. Family and Succession Law: Marriage, divorce, and inheritance matters.
2. Property Transactions: Sale or transfer of immovable property.
3. Government Processes:
   – Land registration, cadastral surveys.
   – Applications for ID cards, name changes, house registration books.
   – Legalization of documents and certain business license applications (e.g., foreign business licenses).
   – Specific filings with state agencies unless their procedures explicitly allow electronic signatures.