Remote legal work has become more common in the last five years, with work-from-anywhere being the new normal. This means that legal professionals have had to learn how to adapt to technology to make this possible, with efficiency and security being top of mind.

With law firms handling a high volume of critical documents requiring signatures such as contracts, agreements, affidavits, and court filings, manual signing processes are not ideal, as they can be slow, cumbersome, and prone to errors.

In fact, 47% of employees struggle to find documents efficiently, wasting time and lowering productivity. In the legal realm, it’s essential for documents to be signed quickly for meaningful action to be taken and for clients to remain satisfied.

So, what’s the solution?

It’s simple: eSignatures are key for modernizing law firms. They simplify workflows, enhance security, and improve client satisfaction.

This guide will cover everything you need to know about eSignatures for law firms to simplify and secure your legal document signing.

Let’s dive in.

Why should you use an eSignature?

eSignatures have become highly popular for law firms, and the benefits of going digital speak for themselves:

  • Improves workflow efficiency: Get rid of paper-based processes so you can lighten administrative burdens and speed up document turnaround times. 
  • Reduces errors: Digital document management minimizes the likelihood of missing signatures or misplaced paperwork, meaning you can rest easy.
  • Protects the environment: Almost everything is digital nowadays, and why should electronic signatures for law firms be any different? Especially if going paperless means reducing your environmental footprint. 
  • More accessible: Being able to sign from anywhere, at any time, on any device, is arguably one of the best perks for both lawyers and clients. 
  • Stronger security: With encryption, audit trails, and authentication features, eSigning helps prevent forgery and tampering.
  • Built-in compliance: Platforms like PandaDoc keep your documents legal by meeting all major industry regulations, so you can feel confident knowing your work is compliant. 
  • Saves money: eSignatures cut down expenses on unnecessary printing, scanning, and courier fees. 

What is an eSignature and how does it work?

An electronic signature, also known as an eSignature, is a digital method of signing documents. It allows lawyers and clients to sign legal paperwork securely from anywhere, whether from the office or on the beach miles away. 

eSignatures can be as simple as a typed name, an uploaded image of a handwritten signature, or a drawn signature on a touchscreen device.

PandaDoc software offers advanced eSignature capabilities, making it easy to use, secure, and compliant with legal regulations, so you can sign with peace of mind. 

Plus, your data is safeguarded by our legally-binding, ESIGN, UETA, HIPAA, and SOC 2 Type II compliant electronic signature software.

After implementing our document management solutions, clients struggling with inefficient and labor-intensive processes find that they can improve workflows and save time.

Pilkington Law Firm faced this exact issue, and after switching to PandaDoc, the firm’s document turnaround time was 5x faster. They also saw a 62% reduction in errors, saving valuable resources and keeping their clients happy.

“PandaDoc has allowed our law firm to seamlessly manage the Client Agreements and Invoicing. This has resulted in quicker turnaround times on executing at this stage, and beginning the application. Allowing the client to digitally complete the documents has saved significant time and effort on both ends. We love it!”

– Brian Gill, Director of Marketing at Pilkinton Law Firm.

Read the full success story here.

Are eSignatures legally binding?

You might be wondering: Is it even legal to sign documents digitally? Do electronic signatures hold the same weight as handwritten ones?

The short answer is yes, absolutely.

But with one caveat—it has to be used correctly.

Under the U.S. Electronic Signatures in Global and National Commerce (ESIGN) Act, the Uniform Electronic Transactions Act (UETA), and the European Union’s eIDAS regulation, eSignatures are legally binding.

However, while electronic signatures are widely accepted, there are some limitations and exceptions. A few exceptions include wills, codicils, testamentary trusts, family law matters (e.g., divorce and adoption), and certain court orders or notices.

Some states also have unique eSignature regulations. New York, for example, follows its own Electronic Signatures and Records Act (ESRA).

Tip: Always double-check regulations in your area.

Here are some best practices for law firms to make sure your eSignatures hold up:

  • Use a reliable eSignature platform – Choose a trusted software like PandaDoc that includes audit trails, encryption, and authentication.
  • Get clear consent – All parties need to agree to sign electronically. Also, make sure to keep a record of that consent.
  • Verify who’s signing – Use multi-factor authentication, ID verification, or biometrics to confirm the signer’s identity.
  • Protect the document’s integrity – Digital encryption prevents people from altering the document after signing.
  • Keep an audit trail – Solid eSignature platforms track timestamps, IP addresses, and user actions to have legal proof whenever needed.
  • Follow legal requirements – Make sure your process aligns with ESIGN, UETA, eIDAS, and any state-specific laws. This is helpful with a trusted platform that already adheres to these requirements.
  • Ensure intent to sign – Make sure all signers take an active step when signing digitally, like clicking “I Agree” or drawing their signature. That feature is already built into the PandaDoc platform.
  • Share signed copies with everyone involved – Transparency is highly valuable with legal documents, so make sure you provide signed documents to all parties.
  • Store documents securely – Encrypted cloud storage with strict access controls will protect your contracts and agreements.

Ready to get started? Here are the top 6 ways to create an electronic signature online.

What’s the difference between a digital signature and an electronic signature?

You might think “electronic signature” and “digital signature” mean the same thing, but there are actually some key differences.

The simple explanation is that eSignatures cover a broad category of ways to sign documents electronically, while a digital signature is a specific type of eSignature.

Let’s break it down:

  • Electronic signatures – These include all digital methods of signing a document, whether it’s typing your name, drawing your signature on a touchscreen, or uploading a picture of your handwritten signature. All of these options are widely accepted and legally binding in many cases. 
  • Digital signatures – These are a more secure type of electronic signature that uses cryptographic encryption to verify the signer’s identity and protect the document from being tampered with or altered. Digital signatures are often used for highly sensitive legal documents requiring stronger authentication.

While both are legally enforceable, digital signatures add a layer of security, making them ideal for high-stakes legal agreements. Use PandaDoc to digitally sign documents easily using legally binding electronic signature technology. 

Ready to level up your legal signatures? PandaDoc eSignature software is the way to go

Still need convincing that eSignatures are the way to go?

Rhett Marlow, President & CEO of LexHelper, says, “We have seen at least a 30% increase in close rate with PandaDoc. It has simplified our previous process by eliminating the need to print, scan and return.”

Our electronic signature software is the best choice for lawyers and law firms with our secure, intuitive, and legally binding solution. Plus, we save time creating and managing contracts without compromising accuracy. 

Say goodbye to the hassle of traditional document signing. Request a demo today to see how PandaDoc eSignatures can work for your business.

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