E-signatures: Powering the paperless business era
In the wake of digital transformation, sending electronic documents online has become a common practice. Often, these documents require signatures as proof of the agreement. This is achieved with the help of electronic signatures. They provide an efficient way to sign documents online, reducing paperwork and enabling more streamlined transactions.
In addition to easing the process, e-signatures help protect your documents with their enhanced security and authentication techniques. They surpass handwritten signatures in various aspects, with security being the most significant. As a result, e-signatures are gaining popularity with businesses worldwide, helping them meet their objectives efficiently.
Paraguay sets the pace for digital-first business
Paraguay is moving toward a digital-first future, and businesses are playing a key role in this transformation. As part of its Agenda Digital Paraguay 2020, the government has laid the foundation for smarter governance and easier digital transactions. A big part of this push includes the adoption of secure electronic signatures, backed by Law No. 6822/2021.
But this isn't just about upgrading technology; it's about building a more efficient, transparent, and innovative way of working. Whether you're running a startup or managing a large enterprise, digital signatures are helping streamline processes, cut down on paperwork, and stay compliant with local regulations.
With Zoho Sign, a digital signature solution businesses can benefit from robust security and seamless integration with existing tools, boosting efficiency and enhancing customer trust. This opens the door to new growth opportunities in the digital era by ticking key boxes, such as:
- Speed
- Productivity
- Authentication
- Security
- Remote access
- Enhanced user experience
- Cost-efficiency
Industries making the fastest move to e-signatures
In Paraguay, the following industries are using e-signatures to work faster, stay organized, and go digital.
- Education
- HR
- Banking and Finance
- Healthcare and life sciences
- Legal
- Retail and manufacturing
- Technology
- Transport
- Insurance
Legal framework for electronic transactions
Law No. 6822/2021 ("the Law") provides the legal foundation for various aspects of Paraguay's digital ecosystem. It governs the use and recognition of:
- Electronic identification
- Electronic signatures
- Electronic seals
- Electronic time stamps
- Electronic documents and files
- Certified electronic delivery services
- Website authentication certificates
- Electronic transferable documents
- Electronic transactions
Trust Services recognized by the Law
Under Law No. 6822/2021, the following trust services related to Digital Signatures are legally recognized and regulated:
- The creation, verification, validation, and long-term preservation of Electronic Signatures
- The creation, verification, validation, and long-term preservation of Electronic Seals
- The creation, verification, and validation of Electronic Time Stamps
- The issuance and preservation of certificates supporting the above services
Types of Electronic Signatures
- Electronic Signature
- Qualified Electronic Signature
Legal validity of Electronic Signatures
Electronic Signatures are legally valid and admissible in private, judicial, and administrative proceedings. The Law further clarifies that an Electronic Signature cannot be rejected solely because it does not meet the criteria of a Qualified Electronic Signature. It also affirms that a Qualified Electronic Signature holds the same legal standing as a handwritten signature.
Electronic Signature
An Electronic Signature refers to electronic data that is attached to or logically associated with a digital document and is used by the signer to indicate their approval or agreement.
Qualified Electronic Signature (QES)
A QES is a more secure form of Electronic Signature. It is created using a Qualified Signature Creation Device and is supported by a Qualified Electronic Signature Certificate.
To be considered a QES, the signature must satisfy the following conditions:
- It must be uniquely linked to the signer.
- It must clearly identify the signer.
- The signature creation data must remain solely under the signer's control.
- Any changes made to the document after signing must be identifiable.
Qualified Electronic Signature Certificate
This certificate is an electronic declaration that:
- Links the data used to validate a signature with its signer.
- Confirms at least the signer's name or pseudonym.
- Complies with the requirements outlined in Article 43 of the Law.
Qualified Electronic Signature Certificates are issued by licensed Qualified Trust Service Providers, who are authorized by the Autoridad Certificadora Raíz del Paraguay.
Non-qualified Trust Service Providers
The Law also acknowledges the role of non-qualified Trust Service Providers. Electronic Signatures issued by such providers are still considered legally valid and will be accepted in court.
When to use Electronic Signatures
Electronic Signatures are legally accepted for nearly all types of transactions and legal activities in Paraguay—whether public or private. They can be used in private agreements, judicial proceedings, and administrative processes, unless a specific law or the nature of the transaction requires otherwise.
The Law confirms that electronic files signed digitally hold the same legal and evidentiary value as their paper-based counterparts. This applies even in mixed formats, where documents are partially electronic and partially physical, as long as both versions are properly linked and maintained.
Electronic Seals
There are two recognized types of Electronic Seals under the law:
- Electronic Seal
- Qualified Electronic Seal
An Electronic Seal refers to digital data that is either attached to or logically linked with an electronic document and is applied by a legal entity to ensure the document's origin and integrity.
A Qualified Electronic Seal must meet stricter requirements. It must be created using a Qualified Electronic Seal Creation Device and backed by a Qualified Electronic Seal Certificate. These requirements mirror those of Qualified Electronic Signatures, ensuring a higher level of trust and authenticity.
Electronic Time Stamps
There are two types of Electronic Time Stamps recognized under the law:
1. Electronic Time Stamp
An electronic time stamp is digital information that associates a document with a precise date and time. It serves as proof that the document existed at that exact moment.
2. Qualified Electronic Time Stamp
Qualified Electronic Time Stamp offers a higher level of assurance. It is issued by Qualified Trust Service Providers and meets stricter standards. In addition to confirming the date and time, they also help guarantee the integrity of the document; ensuring that no changes have been made after the time stamp was applied.
To be considered "qualified," the time stamp must:
- Bind the date and time to the document in a way that makes tampering easily detectable.
- Use a time source synchronized with Coordinated Universal Time (UTC).
- Be verified using the Eectronic Signature or Seal of the Qualified Trust Service Provider.
How Zoho Sign uses Time Stamping to protect integrity
Zoho Sign partners with timestamping authorities, GlobalSign and Seiko, to provide trusted digital timestamps for electronic transactions. These timestamps validate the authenticity of e-signatures and verify that the signed document existed in the given form at the time of signing and remains unaltered, adding a robust layer of security to the signing process. By making signatures tamper-proof, digital timestamps enhance the reliability of signed documents for both legal and commercial purposes.
Recognition of foreign trust services
Trust services offered by providers outside Paraguay can be treated as equivalent to those from Qualified Trust Service Providers within the country; but only under certain conditions. This recognition is possible when there is a formal agreement between Paraguay and the other country or between their respective regulatory authorities.
For such recognition to apply:
- The foreign trust service provider and their services must comply with the same standards required of Qualified Trust Service Providers in Paraguay.
- There must be mutual legal recognition, meaning that the qualified trust services offered by Paraguayan providers are legally recognized as equivalent to those provided by the foreign providers covered under the agreement.
Accessibility for people with disabilities
The tools and products used to access trust services should be designed to accommodate users with disabilities, wherever reasonably possible. This ensures greater digital inclusion and equal access to secure electronic services for all.
How Zoho Sign ensures your
business meets Paraguay's
E-Signature standards
Reliable signer identification:
Zoho Sign employs strong authentication techniques, such as OTP authentication and PKI-based digital signatures using digital certificates, to ensure that the e-signature is uniquely identifiable.
Secure linkage of signature and document:
Zoho Sign offers digital signature certificates issued by GlobalSign, guaranteeing the legitimacy and authenticity of e-signatures. This process not only verifies the signer's identity but also securely links the signature to the corresponding document, clearly demonstrating the signatory's consent.
Enhanced security:
Zoho Sign employs robust encryption protocols, such as the military grade AES-256 encryption at rest and the TLS/SSL protocol in transit, to ensure that the data transmission between the signing platform and the data being signed is secure. This prevents exposure of documents and data from data breaches.
Audit trails:
Modifications made to the document after signing should be easily detectable. This is made possible through audit trails that capture timestamps, IP addresses, signing procedures, and other pertinent activity.
Detectable alterations:
Zoho Sign ensures any alterations to the electronic signature or the document to which the signature is affixed are detectable through an elaborate audit trail of all activities during the signing process. This audit trail comprises critical information such as the identity of the signatory, the timestamp of the signature, and changes made to the document.
Key takeaway
A simpler, smarter way to do business is taking shape in Paraguay. E-signatures are helping companies work faster, more securely, and perfectly in sync with the country's push toward digital transformation. With Zoho Sign as your trusted partner, making the switch to paperless processes is easy and seamless. For businesses ready to thrive in the digital age, e-signatures aren't just a modern upgrade; they're essential for staying ahead. Start your Zoho Sign trial today and experience firsthand how simple it is to transform your workflows and move your business forward!
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Disclaimer
The information provided in this document is for general informational purposes only and shall not be construed as legal, regulatory, or any other form of professional advice. Zoho Sign disclaims any liability for any error in the information provided herein. We recommend that you consult your legal counsel for any questions that you may have in this regard.