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#AIIMInforma(onIsYourMostImportantAsset–LearntheSkillstoManageIt

e-SignaturesinEurope:UnderstandingtheNewRegula(onand

HowItCanHelpYourBusiness

Presented10March,2016

e-SignaturesinEurope:UnderstandingtheNewRegula(onandHowItCanHelpYourBusiness

AnAIIMWebinarpresented10March,2016

Underwri(enby:

StephenMasonBarrister,Author,&ConferenceSpeakerstephenmason.eu

JoergLenzProductMarke9ngManagerEMEAKofaxDeutschlandAG

Host:TheresaResekDirectorAIIM

Today’sSpeakers

Underwri(enby:

StephenMason

Barrister,Author,&ConferenceSpeaker

stephenmason.eu

IntroducingourFeaturedSpeaker

Underwri(enby:

Weallusee-signatureseveryday

PersonalBuyingflights,holidays,shopping,etc,etc–overtheinternet

Usingcreditanddebitcards–ATMsandpointofsale

PuOngasignatureorasquiggleoracrossintoahand-helddevicewhenaccepRngaparcel

TheorganizaRonEnteringcontractswithemployees

Internalpurposestosignoffprojects

Approvinginvoices

Approvingexpenses

Underwri(enby:

Confusionaboute-signatures

Mostofusdon’treallyknowwhatanelectronicsignatureis

Buttheyareeasy

Whatisimportant?

Whendecidingwhichformofe-signaturetouse,youneedtothinkabout:

BalancingevidenRalweightagainstoperaRonalrequirements

Whatisbestforthebusinessprocess

Howthecustomerisgoingtoreact

Underwri(enby:

Somereasonsforusingasignature

Primarypurposeevidencethatthesignatoryapprovesandadoptsthecontentsofthedocument

contentofthedocumentshallbebinding

SecondarypurposeauthenRcatetheidenRtyoftheperson

contentofthedocumenthasnotbeenalteredsubsequentlytotheaffixingofthesignature

Recordkeepingpurpose[Foracompletelist,seeStephenMason,ElectronicSignaturesinLaw(3rdedn,CambridgeUniversityPress,2012),pp8–13]

Underwri(enby:

Formsofelectronicsignature

Typinganameintoane-mailordocumentInterestinproperty;loan;employment;contract;assignmentofguarantee;insurancepolicy;publicadministraRon;judiciary;statuteoffrauds;wills

Clickingthe‘Iaccept’or‘Iagree’icon

UsingapersonalidenRficaRonnumber(PIN)Usingascannedsignature

Usingabiometricmeasurement

Usingadigitalsignature(moreaccurately,ahashcryptographicsignature)

Electronicsound

Thenameinane-mailaddress

Underwri(enby:

Provingthelink

Wealluseelectronicdocumentstoconductbusinesseveryday

ThereisapercepRonthatsomehowcontractsarenotvalidorcannotberelieduponiftheyareinelectronicformat

Yetweallenterintocontractseverydayelectronically,andweuseelectronicsignatures

Whatusuallyma(ersiswhether,ifsomethinggoeswrong,wecanproveweenteredintoacontracttoenforceourrights

Finally,insomejurisdicRons,youcannotenterintosometypesofcontractelectronically[thesearenotdiscussed]

Underwri(enby:

Theprac(calissue

InsomejurisdicRons,theformatthatanelectronicsignaturetakesisnotrelevant

Whereonepartyreliesonanelectronicsignatureandtheotherpartydeniesusingtheelectronicsignature,theburdenofproofremainsasformanuscriptsignatures:

Thepartyrelyingonthesignaturemustprovethesignatureisnotaforgery

Theproblemthataffectseveryformofelectronicsignatureisthis:

Therecipientdoesnotknowwhetherthesignaturewasaffixedtothee-mailordocument,orthePINwasusedbythepersonwhosesignatureitpurportstobe

Underwri(enby:

Therelyingparty

Thepartyrelyingontheelectronicsignaturehastoaskthemselvesiftheyhavesufficientevidenceinplacetorelyonthesignature

Ifadisputeoccurs,consideraRonmustbegivento:Howtoprovethenexusbetweentheapplica9onofthesignature,whateverformittakes,andthepersonwhosesignatureitpurportstobe

Noformofelectronicsignature,includingdigitalsignatures,provestheusercausedthesignaturetobeaffixed

Underwri(enby:

EuropeanUnionlegisla(on

DirecRve1999/93/ECoftheEuropeanParliamentandoftheCouncilof13December1999onaCommunityframeworkforelectronicsignatures,OJL13,19.01.2000,p.12

RegulaRon(EU)No910/2014oftheEuropeanParliamentandoftheCouncilof23July2014onelectronicidenRficaRonandtrustservicesforelectronictransacRonsintheinternalmarketandrepealingDirecRve1999/93/EC,OJL257,28.8.2014,p.73–114

TheRegulaRonrepealstheDirecRvewitheffectfrom1July2016

Underwri(enby:

TypesofelectronicsignatureundertheEUlegisla(on

(10)‘electronicsignature’meansdatainelectronicformwhichisa(achedtoorlogicallyassociatedwithotherdatainelectronicformandwhichisusedbythesignatorytosign;

(11)‘advancedelectronicsignature’meansanelectronicsignaturewhichmeetstherequirementssetoutinArRcle26;

(12)‘qualifiedelectronicsignature’meansanadvancedelectronicsignaturethatiscreatedbyaqualifiedelectronicsignaturecreaRondevice,andwhichisbasedonaqualifiedcerRficateforelectronicsignatures;

Underwri(enby:

Trus(ngthesignature

Whenrelyingonadocument(contract,indemnity,loan–tomenRonafewexamples),youneedtobesaRsfiedthateverythingisinorder

Forinstance,ifyouenteracontract,youneedtoensureyouaresaRsfiedofanumberofthings,someofwhichinclude:

TheotherpersonorlegalenRtyiswhotheysaytheyare

Thepersonsigningthecontractiswhotheysaytheyare

ThepersonsigningthecontracthastheauthoritytosignonbehalfofthelegalenRty

Thereisnodifferencebetweenthephysicalworldandtheelectronicworld

Underwri(enby:

Reference

StephenMasonandTimothyS.Reiniger,‘“Trust”BetweenMachines?EstablishingIdenRtyBetweenHumansandSorwareCode,orwhetherYouKnowitisaDog,andifso,whichDog?’,ComputerandTelecommunica9onsLawReview,2015,Volume21,Issue5,135–148

h(p://www.stephenmason.eu/?page_id=218

Underwri(enby:

Whatyouneedisevidence

FromtheperspecRveofproof,someoftheissuestoconsiderinclude,butarenotlimitedto,establishingthefollowing:

1.TheverificaRonofaclaimedidenRtyofasignatorybyvalidaRon(confirmaRonthatapersonwithaparRcularsetofidenRtycharacterisRcsexists)andverificaRon(confirmaRonthatapersoniswhotheyclaimtobe)

2.Thatanydocumentssubmi(edarenotforgedandareaccurate

3.Thesystemusedtocapturethesignatureissufficientlyrobusttolinktheelectronicsignaturetothedocument

Underwri(enby:

Nextsteps

Assesswhichpartofthebusinessorprocesswillbenefitfromtheuseofe-signatures

Whichdocumentdoyouwantsigningwithane-signature?

IsitnecessaryorappropriateforthatparRculardocument?e.g.,Highvalue/valuablepersonalconnecRons–mediumvalue/intermediatepersonalconnecRons?

Analysetherisksfordifferenttypesofe-signature

IncludeananalysisofthereliabilityandintegrityoftheITsystemyouareusing–thesystemprovidesthetechnicalproofofsigning

Thinkaboutlong-termstorageifyourindustryrequiresverylongtermretenRonofrecords(e.g.,nuclear,insurance)

Underwri(enby:

Thankyou

h(p://www.stephenmason.eu

Underwri(enby:

JoergLenz

ProductMarke(ngManagerEMEA

KofaxDeutschlandAGpartof

LexmarkEnterpriseSorware

IntroducingourSpeaker

18

Underwri(enby:

PersuasiveEviden(alWeight

EvidenRalweightofasigneddocumentisdeterminedbyaholisRcassessmentofallprocessstepsinadocumentlifecycle

AccessIdenRficaRonAuthenRcaRon

DocumentPresentaRon

AddiRonalData DocumentCompleRon

SignatureCrea(on

Archiving/Delivering

2!

capture&addphotos

ontabletface-to-facewebportal

app…

e.g. inserttext,Rckboxes…

eIDASImpact

19

Underwri(enby:

SigningScenariosandtheireIDASImpact

Wheretosignwhathow?ExampleTelco:SigningforaPhoneContractTelcosmustidenRfytheircustomersbyverifyingIDdocuments

Face-to-Face(In-Person) Remote

eIDASImpact:IDVerificaRonnowalsopossiblewithoutgoingtoashop

20

Underwri(enby:

OnelastpollquesRon…

Underwri(enby:

SigningSitua(onsinOmni-Channel

Face-to-Face(In-Person)

Remote

inoffice/branch

outofoffice/infield

Whereandhowshouldwhichdocumentsbee-signedbywhom(employees,customers,..)–e.g.,inanon-boardingscenario?

ondesktopPC

onmobiledevices

PotenRalGoalforselecRnganE-SignatureSoluRon:Achievingaconsistentuserexperienceacrossallchannels.

22

Underwri(enby:

eID+CardReader

SignerIDVerifica(on

Face-to-Face

RemotephysicalIDCheck

VideoConf.ID

ownemployee

virtualIDCheck

ServiceProvidere.g.,“Post-Ident”inGermany

ownofficeorinfield

*emergingIDVerificaRonMethods

(e)SIMID

eIDASImpact:ThesemethodsofidenRficaRonmightbeleveragedtoprovidecerRficatestosignwithAdvancedandQualifiedE-Signatures

?*

23

Underwri(enby:

SignatureRequirements

SignatureRequirementsimposedbylaw

forvalidityorenforceabilityreasons

QualifiedElectronicSignature(QES)explicitlyrequiredbylawasreplacementforwetinksignature(wri(enform)

NoSignatureRequirementsimposedbylaw

forvalidityorenforceabilityreasons

FormFreeAgreementsSigningonpapertodayisexecutedarbitrarily

24

Underwri(enby:

FormFreeAgreements

Forthefollowingbusinessprocessesphysicalsignaturesonpaper(“wet-inksignatures”)arenotrequireddejureinmostEUcountries:§  Banking:Accountopening,modificaRon,anddeleRon,cashdepositsand

withdrawals,consultaRonminutes,brokerproxies,standingorders,exempRonordersforcapitalgains,…

§  Insurance:applicaRons,agreements,damagereports…§  Telco:Contracts(mobile,DSL,cableetc.),servicereports,…§  URliRes:Contracts(powersupply),…§  Retail:Receiptsatthepointofsaleorpointofdelivery,applicaRonsfor

customerrewardschemesmerchandisereturn,servicedocumentaRon,…§  Manufacturing:Protocols,testreports,deliveryreceipts,…

DefactomanyofthemareyetsRllsignedonpaperarbitrarily. 25

Underwri(enby:

TakingSignaturesSeriously

Themorepreciseanddifferen(atedsignalsofthewriRngproceduremaybecapturedthehighertheevidenRalweightofaparRcularsignaturedataset

Desirable:Capturingofasmanysignals/secaspossible–alsorequiredforaccuratedisplayofarcsandloops,ideallyalsocapturingofdifferentlevelsofwriRngpressure

Thereismoreinahandwri(ensignaturethanmeetstheeye:VisiblestaRcsignatureimagecharacterisRcsInvisibledynamic(biometric)signalsofthewriRngmovementsuchaslocaRon(incl.startandendofeachstroke),speedandacceleraRon

26

Underwri(enby:

ExpertVerifica(onofSignatureCharacteris(cs

27

ForensicExpertsanalyzequan(ta(vesignaturecharacterisRcs

GraphologistsdealwithqualitaRvecharacterisRcs

Underwri(enby:

Signing:MoreMeaningfulwithStyluses

…fingerontouchscreen(similardatawouldbecapturedwithconvenRonalstyluses)

…acRvestyluscommunicaRngwithdigiRzer(=sensorboard)forelectromagneRcresonanceunderneaththedisplay

Comparisonofsignalpointscapturedwhilesigningwith….

28

Underwri(enby:

TakingSignaturesSeriously

Stylus

DigitalInk

DisplaySurface

29

Underwri(enby:

(a)itisuniquelylinkedtothesignatory;(b)itiscapableofidenRfyingthesignatory;(c)itiscreatedusingmeansthatthesignatorycanmaintainunderhissolecontrol;and(d)itislinkedtothedatatowhichitrelatesinsuchamannerthatanysubsequentchangeofthedataisdetectable;

DirecRve1999/93/EGArt.2paragraph2

RegulaRoneIDAS2014Art.3paragraph11,Art.26

(a)itisuniquelylinkedtothesignatory;(b)itiscapableofidenRfyingthesignatory;(c)itiscreatedusingelectronicsignaturecrea(ondatathatthesignatorycan,withhighlevelofconfidence,useunderhissolecontrol;and(d)itislinkedtothedatatowhichitrelatesinsuchamannerthatanysubsequentchangeofthedataisdetectable;

30

E-SignatureTerminologybyEuropeanCommission

eIDASprovidestailwindfortheconceptofAdvancedElectronicSignature(AES)–ThistypeofsignaturecatersforAuthenRcity&Integrity

Founda(onofTrustworthiness:Authen(city&Integrity

30

Underwri(enby:

BiometricData

Capture&StorageISO19794

Signature EncrypRon

DocumentHash

TimeStamp*

DigitalCerRficate*

*opRonal

Finger

Face

Speech

AUTHENTICITY INTEGRITY

E-Signature

SignatureObjectinPDFfileISO32000

“Self-containeddocuments”ValidaRonofIntegrityshouldbefeasibleinstandardPDFreadersincl.AdobeReader

31

BiometricsmeetCryptography

31

Underwri(enby:32

TrustworthyE-SigningofPDFFiles

32

Underwri(enby:

SneakViewintonewWhitepaper

33

Next:Quicklookon2E-SignatureExamplesfromEuropeand–beyondthewhitepapercontentasabonus–onefromAsia

Underwri(enby:

•  Time-to-policyminimized,reducedcancellaRonrisk

•  User-friendlyconsulRnganddealclosureprocess•  Expensescutdownaspaperforms(andtheneed

toprint,send,store,scan…)etc.disappear•  NoerrorsresulRngofcontenttransferfrom

papertofiles•  Automatedarchiving,fastaccesstoelectronic

documentsforaudiRngCaseStudyonrequest

PaperlessCustomerOnboardingsince2011*

E-Signingonline&offlineoniPad-withKofaxSignDocSDKbuiltin;GPScoordinatesforaddiRonalevidenceVariouspolicyformssuchastheapplicaRonforlifeinsuranceandcustomerconsultaRonprotocol

* FiguresfromSlovakia,todayalsoinproducRoninothercountries** CetelemCustomerSaRsfacRonSurveyinRomania,2014

34

BestPra(ceExampleEurope

Underwri(enby:

•  Time-to-finance:Reducedfrom3daysto3hours•  25%OPEXsavingsinY2•  60%DecreaseofcustomeronboardingRme•  PaperSavings:1,6Msheets/year*•  91%ofcustomersprefersigningontabletover

paper**CaseStudyh(p://goo.gl/JqNufxAccesstoProjectReportVideo:onrequest

PaperlessCustomerOnboardingsince2013*

E-Signingonline&offlineonSamsungAndroidTablets-basedonSignatus,aworkflowsoluRonbyAnasorwithKofaxSignDocSDKbuiltin;combinedwithSecuritySystemSamsungKnoxLoanContractsin-branchin-field,e.g.forfurniture(IKEA)orelectronics

* FiguresfromSlovakia,todayalsoinproducRoninothercountries** CetelemCustomerSaRsfacRonSurveyinRomania,2014

35

BestPra(ceExampleEurope

Underwri(enby:

•  30.000Usersin11countries•  ConsultaRonandconclusiononasingledevice,

anyRmeandeverywhere•  CapturingofGPSCoordinatesforincreased

evidenRalWeight•  Winner„AsiaInsuranceIndustryAward”(2013)CaseStudyh(p://goo.gl/JqNufxAccesstoProjectReportVideo:onrequest

iPOS(interacRvePointofSale)System–speciallydesignedfornewteamformobilesalesincl.E-Signingonline&offlineoniPads–basedonKofaxSignDocSDK;GPScoordinatesforaddiRonalevidenceContracRngforlifeinsurance

E-SigningSolu(onSnapsAsiahot:Asia

36

Bonus:SomemoreInspira(onfromAsia

PaperlessCustomerOnboardingsince2011*(StartinTaiwan)

Underwri(enby:

Thankyou

Contact&FollowJörg-M.Lenzjoerg.lenz@kofax.com@Joerg_Lenzh(ps://goo.gl/JbJXLbh(ps://goo.gl/lhaBXn

37

Underwri(enby:

DownloadtheWhitePaper

E-SignaturesinEurope:Understandingthelegal

requirementsforproofofintent

h(p://info.aiim.org/e-signatures-in-europe-understanding-the-legal-requirements-for-

proof-of-intent

Underwri(enby:

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