E-Signatures, Thailand

john@fosrlaw.com

August 2018

by John P. Formichella

The eCommerce market in Southeast Asia is one of the fastest-growing and most promising with its projection to grow to $11 billion in 2025.  According to the Electronic Transactions Development Agency, in 2017 the total eCommerce market in Thailand was estimated at $2 billion.  The total Thai eCommerce revenue is expected to reach $3.5 billion in 2018.  The driving factors arise from increased Internet and mobile phone use as well as improved logistics and e-payment systems. 

Source: www.export.gov

With rapid growth of eCommerce transactions, closing of transactions via the traditional exchange of signatures opens the door to various issues. For banks and payment service providers there is always the problem of charge-backs. Of course verification methods are on the increase but the starting point in closing a digital transaction is an e-signature.

Under Thai law, an “e-signature” is a letter, character, number, sound, or any other symbol created in electronic form which can be used in conjunction with electronic data for establishing the relationship between a person and such electronic data.”

The law clearly expresses that the enforceable and binding effect of electronic data cannot be denied or rejected because such data is produced electronically or is in an electronic form. An e-signature is automatically considered reliable/trustworthy if such e-signature (i) is created and linked exclusively to its owner, (ii) is created under the exclusive control of the signatory without other persons involved; (iii) any change to such e-signature must be detectable and identifiable; and (iv) any amendment to an executed document using such e-signature can be detected and identified.  

Practically speaking, an e-signature using Public Key Infrastructure (PKI) technology is currently recognized under Thai law as secure and reliable technology. Thus technologies using PKI for e-signatures is legally binding and enforceable.

For more information please contact me at john@fosrlaw.com

The content of this article is for general information purposes only and is not considered as legal advice.

© John P. Formichella