Electronic Signatures, Real Estate, Pennsylvania Association of Realtors... What's Really Going on?

Since DocuSign began participating in online conversations about electronic signatures and online contract execution, we've noticed that misperceptions exist regarding whether or not various groups approved the use of digital signature and electronic contracts or records. We recently published a piece discussing FHA and lender acceptance of electronic signature, and we also heard rumors that PAR, the Pennsylvania Association of REALTORS®, had not approved electronic signatures for contracts.

For clarification, we asked PAR to share their thoughts on electronic signatures, and Hank Lerner, Director of Member and Legal Services responded promptly (from his email):

The federal E-SIGN statute and PA Electronic Transactions Act (http://www.parealtor.org/content/Laws_Regulations.htm ) both state that electronic signatures are acceptable in transactions as long as they are done in compliance with the requirements of the laws. PAR's "position," as it were, is simply that if an electronic signature is done in compliance with the law, then it is legally binding. We have not ever suggested that our members cannot or should utilize e-signatures in their business; a decision to do so or to not do so is up to the individual brokers or agents. (emphasis ours)

PAR also stated that it does license the content of its statewide standard forms to four electronic forms vendors, all of which have relationships with DocuSign, to provide e-signature capabilities directly from the applications.

Ken Moyle, DocuSign's Chief Legal Officer and the rest of the management team designed DocuSign so that the DocuSign system is in compliance with the law. DocuSign's security measures ensure that your records and data are fully secure. As of this date, in every case that a DocuSign electronic signature or contract has been challenged, the evidence and digital trail created by the DocuSign system has resulted in party backing down from their attempted repudiation.

So Pennsylvania brokers and agents, you can decide to use electronic signatures from DocuSign and electronic forms to save you time in your real estate business. Any stories of how DocuSign has saved you time and money in your business? Let us know - we'd love to share it!