Electronic Signature Laws & Regulations - Taiwan

Overview

The use of electronic and certificate-based digital signatures is generally accepted in the business community in Taiwan, especially in contracts relating to ecommerce. Under Taiwanese law, an electronic signature is valid and has the same enforceability as a traditional “wet” signature if it meets the legal requirements for validity and isn’t subject to any exemptions.

The use of electronic and digital signatures is mainly governed by Taiwan’s Electronic Signature Act and its Enforcement Rules, as well as administrative regulations from relevant authorities. The Act adopts the general term “electronic signature” as the basis of the legislation; a “digital signature” is a type of electronic signature.

Electronic Signatures Legal Requirements
To be legally effective, an electronic signature must meet the following requirements:

  1. Content integrity: the content of an electronic document signed with an electronic or digital signature must not be tampered with, altered or changed without the signatory’s authorization.
  2. Signed copies available: an electronic document signed with an electronic or digital signature must remain accessible for subsequent reference by the parties to the document.
  3. Mutual consent between the parties to use electronic signatures: Unless the counter party has agreed to adopt electronic signatures, the counter party should be given a reasonable period and manner to oppose before adopting electronic signatures, and the counterparty should be informed that consent is deemed if they do not oppose. The counter party may also express its decision to stop using electronic signatures at any time. This does not affect the effectiveness of legal acts performed using electronic signatures before the expression of cessation.
  4. Use not barred by other relevant laws: the use of an electronic signature is not prohibited by laws issued by the competent authority.
  5. Other requirements from authorities for electronic signatures or processes: the competent authority may, at their discretion, require that certain technology be used or procedures be followed.

In addition, a legally effective digital signature must also meet these three requirements:

  1. Encryption technology: the digital signature must be encrypted by the signatory's private key and be capable of being verified by the public key.
  2. Qualified by the certificate authority: the digital signature must be qualified by a certificate issued by a certificate authority whose certification practice statement is approved by the Ministry of Digital Affairs. The listing of approved certificate authorities is publicly available at: https://moda.gov.tw/ADI/news/bulletin-board/11802.
  3. Valid certificate: the certificate must remain valid and the digital signature not used beyond its registered scope of use.

Admissibility
In general, there is no difference in the enforceability or admissibility of digital and electronic signatures. There are no documents or agreements that can only be signed electronically using a digital signature. Judges are familiar with the laws surrounding the Electronic Signature Act. The Taiwan courts tend to uphold the validity of documents signed with an electronic or digital signature.

Moreover, if an electronic document is signed with a legally effective digital signature (requirements discussed above), then the electronic document is presumed to be signed by the person themself.


Special considerations

Transacting with public sector entities
There are no special requirements or restrictions for using digital or electronic signatures with government entities in Taiwan. However, as mentioned above, the competent authority may require that particular technology or procedures be followed. The possibility also exists that the relevant competent authority may add special requirements or restrictions for using digital or electronic signatures with government entities.


Use cases that generally require a traditional signature

In Taiwan, there are several use cases that currently require a traditional “wet” signature.

The following is a discussion of several industry specific guidelines that outline which documents and use cases can or cannot utilize electronic signatures

1. For legal proceedings:

  • Types of documents that may be signed electronically:
    • According to the administrative regulation issued by the Judicial Yuan, in general, the documents of the first and second instance of civil proceedings may be signed electronically:
      • the indictment
      • the preparatory pleadings
      • the pleadings
      • the summary of the dispute
      • the change of the complaint
      • the petition
      • the statement
      • the withdrawal of the pleadings
      • the petition of appeal
  • Types of documents that cannot be signed electronically:
    • Documents regarding public summons.
    • Power of attorney or withdrawal of power of attorney.
    • Documents that involve the privacy or business secret of the party and cannot be inspected, copied or photographed.
    • Motion for perpetuation of evidence preservation or suspension of the civil compulsory execution.
    • A written oath annexed to the pleading.

2. For business of banking, insurance, and securities and futures:
According to the administrative regulation issued by the Financial Supervisory Commission, certain documents are exempt from the Electronic Signature Act, meaning they cannot be signed electronically. Below are a few critical examples:

  • A written commitment to the bank offering certain property as collateral and agreeing not to encumber the property by mortgage or pledge to a third party issued under the authority of a board of directors’ resolution of a company limited by shares in connection with extension of loans.
  • For the merger of financial institutions, the merger agreement and documents objecting to the merger of financial institutions.
  • The termination of an insurance contract proposed by the insurer under the condition of partial loss of subject matter insured.
  • A life insurance contract in relation to death which has been entered into by a third party.
  • Where a shareholder of a company processes shareholder services or exercises other related rights in writing, the requirement of a traditional wet signature or chop (i.e. seal) cannot be substituted with an electronic or digital signature.
  • The relevant documents made where a shareholder puts stock in pledge.
  • The relevant documents regarding solicitation of proxies for attendance at the shareholders’ meeting.

3. For witnessing:
Documents notarized under the Ministry of Justice's jurisdiction (except for compulsory enforcement notarized documents and notarized wills) may be signed using an electronic signature.
However, documents notarized under the Judicial Yuan's jurisdiction are not permitted to be signed electronically.

4. For instruments regarding family law or wills:
The administrative regulation issued by the Ministry of Justice (Fa-Lu-Tzu No. 11203506250) requires that instruments regarding family law, such as an application form for marriage, an agreement regarding a prefix of the surname of the spouse, a contract for the holding of matrimonial property, an agreement of adoption, wills and the attachment thereto, and instruments related to inheritance, may not be generated in electronic form and must not be signed or executed electronically.

Note:

Disclaimer: Information on this page is intended to help businesses understand the legal framework of electronic signatures. However, Adobe cannot provide legal advice. You should consult an attorney regarding your specific legal questions. Laws and regulations change frequently, and this information may not be current or accurate. To the maximum extent permitted by law, Adobe provides this material on an "as-is" basis. Adobe disclaims and makes no representation or warranty of any kind with respect to this material, express, implied or statutory, including representations, guarantees or warranties of merchantability, fitness for a particular purpose, or accuracy.

 Adobe

Get help faster and easier

New user?