Legality of eSignatures in Bosnia and Herzegovina

Background

Electronic signatures are rapidly transforming the document authentication landscape within Bosnia and Herzegovina and globally by introducing efficient and environmentally conscious methods that are building momentum. The shift from paper to digital signatures accelerates the completion of various dealings.

It is crucial to select an electronic signature tool that aligns with the nation's legal stipulations, specifically the Electronic Transactions Act, for successful adoption in Bosnia and Herzegovina.¹ This is to ascertain the legal validity of electronic signatures compared to their handwritten counterparts in Bosnia and Herzegovina. Despite the progressive acceptance, it's essential to recognize that some documents may still need a physical signature, and seeking legal consultation is advisable to navigate variable regional laws.²

The importance of security surrounding electronic signature platforms cannot be understated. Services must integrate robust protection features such as data encryption, verifying signer identities, and providing audit trails to deter wrongful access and guarantee document authenticity. For instance, BoldSign offers these imperative security features and complies with legal and security protocols.

Bosnia and Herzegovina enterprises must emphasize legal conformity, elevate security measures, and choose user-friendly platforms for integrating electronic signatures into their business frameworks. This approach boosts productivity and ensures the protection of their business exchanges.

Overview of the eSignature regulations

The Electronic Transactions Act regulates the use of electronic signatures.³ The Act gives eSignature the legal validity equal to that granted to the wet-ink signature before its enactment.

The Bosnia and Herzegovina regulation grants all individuals the freedom to execute their contracts upon agreement by the contracting parties electronically. Such contracts shall, however, not be denied legal validity merely because they were completed electronically. An electronic signature cannot be stripped of its evidentiary weight solely on the grounds that it is electronic, because it is not based on a qualified certificate or a qualified certificate from an accredited certifier, or that it was not created using the technical means and procedures under the regulation.⁴

The regulation divides electronic signatures into:

1. Standard electronic signatures
2. Secure electronic signatures

A standard electronic signature is any data in electronic form that accompanies other data in electronic form or is logically linked to them, enabling the identification of the signer.

A secure electronic signature is designed so that, together with a security procedure, it can be verified that the signature is:

• Uniquely linked to the signer
• Capable of identifying the signatories
• Created using means that the signer can keep their sole control
• Linked to the data it relates to so that any subsequent change to the data is detectable.
• Based on a qualified certificate, it is generated using technical means and procedures that comply with the security requirements.

Uniquely linked to the signer

A secure electronic signature must be uniquely connected to the person using it. The signature must be created with methods only the signer can access, like a private key and confidential information, to verify their identity.

Use and incorporation remain in their sole control

The person using the secure electronic signature must have sole control over the means of creating the signature. Typically, this requires managing a key pair or two-factor authentication, with the signer exclusively holding the private key to prevent signature forgery.

Identify the signatories

The process used to create the signature must be capable of identifying the person signing. This may include using a biometric signature, a personal identification number (PIN), an email address, or a company registration number.

Track down any alterations made after signing

Preserving the authenticity of the signed document is essential. Modifications made to the document post-signature should be identifiable. This is commonly accomplished through an audit trail. Audit trails record the signer's IP address, timestamps of key signing events, and location, providing proof of identity, timing, and signature place.

Under the regulations, a secure electronic signature is granted the same legal validity as a handwritten signature and can, as such, be used in place of a hand written signature.⁵

Summary analysis

The scope and limitations of eSignature transactions

The use of electronic signature is not legally recognized for all document types. Some transactions are appropriate for eSignatures, while others are not. Below is a brief analysis and a summary table of these transactions.

Documents that can be signed

Electronic signatures can be employed to affix signatures and provide countersignatures on a diverse array of documents, such as:

• Legal opinions
• Offer letters
• Memoranda and internal correspondences
• Non-disclosure agreements
• Purchase orders
• H.R.
• Procurement
• Employee onboarding, etc.

Exemptions

In limiting the scope of use of electronic signatures, the Act exempts transactions from the following regulations:⁶

• Transactions under family and inheritance law
• Declarations of will or legal transactions for which official certification, judicial or notarial verification of authenticity, or a notarial document is required for validity.
• Declarations of will, legal transactions, or submissions that require official certification, judicial or notarial verification of authenticity, or a notarial document for entry into land registers or other official registers.
• Declarations of guarantees issued by individuals in their craft, business, or professional capacity.

Summary list

How does BoldSign help?

The following elements of compliance available within BoldSign can be used to comply with Bosnia and Herzegovina eSignature laws:

• Secure and unique signing link: A secure and unique link to sign a document is sent directly to the signer's email address. This ensures that the document is only accessed by the intended signer and cannot be tampered with.
• Password protection: Senders can specify a password that needs to be entered before viewing and signing a document. This adds another layer of security to the signing process.
• Audit trail: The IP address of the signer and timestamps for all significant events in the signing process are recorded in an audit trail. This provides a record of who signed the document, when, and where.
• Digital signature: The final document is digitally signed with an AATL-compliant certificate. This ensures that the document cannot be tampered with without invalidating the signature.
• Consent: Signers are asked to confirm their intent to sign electronically and are informed that they could opt out. This ensures that the signer is aware of the implications of signing electronically and has given their consent.
• Custom terms: Get your signers to agree to a custom set of terms. This can be useful to ensure additional security or that the signer understands the terms of the document.

Disclaimer: The information on this page is intended to help businesses understand the legal framework governing electronic signatures in this particular country.

However, Syncfusion’s officers, directors, stockholders, affiliates, attorneys, accountants, employees, or agents cannot provide legal advice. You should consult your personal attorney regarding your specific legal questions. Laws and regulations are subject to frequent changes, and the information may not be current or accurate. To the maximum extent permitted by law, Syncfusion provides this material on an “as-is” basis. Syncfusion disclaims and makes no representation or warranty of any kind with respect to this material, express, implied, or statutory, including representations, guarantees, warranties of merchantability, fitness for a particular purpose, or accuracy.

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