Wednesday, July 27, 2011

Can we sign documents on an iPAD?

Sure, Absolutely, there is technology for that;

DocuSign has been proven to be easy, fast and secure in more than 4 million real estate transactions. DocuSign® is the official and exclusive electronic signature solution for the 1.1 million members of the National Association of REALTORS® (NAR).
Using DocuSign, a real estate transaction that used to take days or weeks now takes minutes. What’s more, the cost savings and positive customer experience delivered by DocuSign makes for one of the best returns on investment in real estate.
BUT: I need to provide you with a copy of the contract you have just signed or it is not valid. I may need to drop the copy of the Listing Agreement or Buyers Agency into the Post Office because you have refused or declined your copy.

This is the real answer;

David Morgan, CCIM- Sure, Ontario has a policy. The Ontario Electronic Commerce Act, 2000 - where it states very clearly:
31. (1) This Act does not apply to the following documents:
1. Wills and codicils.
2. Trusts created by wills or codicils.
3. Powers of attorney, to the extent that they are in respect of an individual’s financial affairs or personal care.
4. Documents, including agreements of purchase and sale, that create or transfer interests in land and require registration to be effective against third parties.

To get electronic signatures approved for use in real estate transactions, you'd have to amend the Act, and also the Ontario Statute of Frauds. So far, the Ontario Government has shown no appetite to make those changes.

So until then... I need to scan your documents, beit the Agreement of Purchase and Sale, Listing Agreement or Buyers Agency, and send them to you as a PDF, that may need to be witnessed by an independent 3rd party and then re - scanned or faxed back.

Not having the document witnessed does not render it invalid, we just are advised to strike the witness portion and remark as FAX or Email. Remember walking around with the lil red seals in your briefcase? Signed under seal meant something, Now we barely explain it.

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