"Executing a document" sounds more serious than "signing a document" — and it is. Execution is the legal act that makes a document binding and enforceable. Understanding what execution requires, and when an electronic signature qualifies, prevents costly mistakes.
Document execution is the formal process of signing a document with the intent to be bound by its terms. Once a document is properly executed, it becomes a legally enforceable agreement between the parties.
Execution is more than just putting a signature on paper (or screen). It requires:
Not all documents have the same execution requirements. The distinction that trips up most businesses is between simple contracts and deeds.
Simple contracts (also called "agreements under hand") require:
Most business documents — vendor agreements, NDAs, employment contracts, service agreements — are simple contracts. Electronic signatures are widely accepted for simple contracts under the ESIGN Act (US), Electronic Communications Act (UK), eIDAS (EU), and similar legislation worldwide.
Deeds have stricter requirements because they are binding without consideration (no exchange of value needed). Deeds typically require:
Deeds are used for property transfers, powers of attorney, and certain corporate actions. Whether electronic signatures are valid for deeds depends heavily on jurisdiction:
| Jurisdiction | e-Signatures on Deeds? |
|---|---|
| England & Wales | Yes, since September 2019 (Law Commission guidance) |
| Scotland | No — deeds require wet ink signatures |
| Australia | Yes, for most deeds (varies by state) |
| United States | Generally yes (varies by state, especially for real estate) |
| Canada | Generally yes (varies by province) |
| EU member states | Varies significantly by country |
If your document is a deed, check the specific requirements for your jurisdiction before using e-signatures.
For the vast majority of business documents (simple contracts), e-signatures constitute valid execution when:
1. The signer intended to sign. Clicking a "Sign" button, drawing a signature, or typing a name in a designated signature field all demonstrate intent. The act of going through a signing workflow — opening the document, reviewing it, placing a signature — is itself evidence of intent.
2. The signer can be identified. You need evidence of who signed. Email verification, SMS codes, IP logging, and audit trails all establish the signer's identity.
3. The document's integrity is preserved. The document must not change after execution. E-signing platforms handle this by flattening the signed PDF, making any post-signing modification detectable.
4. The method is appropriate for the document type. Most documents have no specific requirements about the method of signing. Some documents — deeds, certain real estate transactions, wills — may have additional requirements that vary by jurisdiction.
Employment contracts — Simple contract. e-Signatures widely accepted. No special execution requirements in most jurisdictions.
NDAs and confidentiality agreements — Simple contract. Routinely executed electronically. Single-signer or multi-party.
Commercial leases — Usually a simple contract, but may be a deed in some jurisdictions (especially for long-term leases). Check local requirements.
Vendor and supplier agreements — Simple contract. One of the most common documents executed electronically.
Board resolutions — Execution requirements depend on the company's constitution and jurisdiction. Many jurisdictions allow electronic execution of board resolutions.
Property transfers — Often require deeds, which have jurisdiction-specific execution requirements. Check local law.
Powers of attorney — Typically require deed execution with witnessing. Some jurisdictions now allow electronic execution, others do not.
Wills and testaments — Most jurisdictions still require wet signatures and witnesses. Electronic execution of wills is extremely rare.
GoodSign provides the infrastructure for executing business documents electronically with a strong evidence trail.
Clear signing workflow. Signers follow a structured process: receive the document, review it, place their signature in designated fields, and confirm. This sequence creates clear evidence of intent — the signer did not accidentally or unknowingly sign.
Signer verification. Verify signer identity through email delivery (the signer received the document at their known email address), SMS one-time passwords (the signer entered a code sent to their phone), or biometric passkeys (the signer used Face ID or fingerprint authentication).
Document integrity. After execution, GoodSign flattens the signed PDF — embedding all signatures, form data, and timestamps permanently in the document. Any modification after signing would be detectable.
Multi-party execution. For documents requiring multiple signers, set the execution order (sequential or parallel). GoodSign manages the routing, sends each signer the document when it is their turn, and tracks completion.
Complete audit trail. Every executed document includes a permanent record of: when each signer received the document, when they opened it, when they signed, what device and IP address they used, and how their identity was verified. This trail is the foundation of enforceability.
Witness support. For documents that require a witness, GoodSign supports eWitness signing — a designated witness can be included in the signing workflow.
Permanent storage. Executed documents are stored indefinitely in your GoodSign account. Retrieve any signed document at any time — critical for documents with long-term legal implications.
All features are included at $1.50 per envelope sent. No subscription, no per-user fees, no feature tiers. Whether you are executing a simple NDA or a complex multi-party agreement, the process and pricing are the same.
1. Verify authority. Before sending a document for execution, confirm that each signer has the authority to sign. A contract signed by someone without authority may not be enforceable against the organisation they claim to represent.
2. Use clear signature fields. Place signature fields in obvious locations. Signers should know exactly where to sign and what they are signing for.
3. Include the date. Always include a date field alongside the signature. The execution date establishes when the agreement became binding.
4. Keep a copy. Both parties should retain a copy of the executed document. E-signing platforms handle this automatically — all parties receive the signed document.
5. Check jurisdiction requirements. If you are unsure whether your document type can be executed electronically in your jurisdiction, get legal advice. The cost of a quick consultation is far less than the cost of an improperly executed document.
Document execution is the point where words become obligations. Getting the process right — clear intent, verified identity, preserved integrity — is what makes the difference between a binding agreement and a piece of paper.
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