What Is an E-Signature in India? Definition, Types, Legal Basis and Where It Fits in the Contract Lifecycle
A single, sourced explanation of electronic signatures in India: what the IT Act means by the term, the three methods businesses use, what each proves, which documents are excluded, and how signatures fit into the contract lifecycle rather than standing alone.
"E-signature" is used for everything from a scanned image of a handwritten signature to a cryptographic signature backed by a government-licensed certificate. Indian law is more precise, and the precision matters when a document is challenged. This guide gives the definitions, the methods, what each proves and the place of signature in the wider process. Position as of October 2026.
The statutory definition
Section 2(1)(ta) of the Information Technology Act, 2000 defines an electronic signature as authentication of an electronic record by a subscriber by means of the electronic technique specified in the Second Schedule, and includes a digital signature. Two things follow:
- A method is an "electronic signature" in the statutory sense only if it is in the Second Schedule.
- A digital signature (section 3) is one kind of electronic signature; the Second Schedule adds others, of which the Aadhaar e-KYC based eSign technique (notified by G.S.R. 61(E), 27 January 2015) is the main one.
Section 5 then provides that where a law requires a signature, that requirement is met by an electronic signature affixed in the manner prescribed by the Central Government.
The three methods businesses actually use
1. Digital Signature Certificate (DSC). The signer holds a private key, usually on a USB token, and a Certifying Authority licensed by the Controller of Certifying Authorities issues the certificate binding that key to the signer's verified identity. Section 3 describes the mechanism: asymmetric crypto system and hash function. Used for company filings, tenders, high-value agreements, and by signatories who sign often.
2. Aadhaar eSign. The signer authenticates with UIDAI (OTP, fingerprint, iris or face) through an eSign Service Provider, which obtains a one-time certificate from a Certifying Authority and signs the document's hash. Section 3A plus the Second Schedule. Used for loan documents, HR documents, vendor agreements and consents where the signer is an Aadhaar holder. The CCA's eSign specification classes OTP eSign as single-factor and biometric eSign as multi-factor.
3. Platform signature. The signer clicks, types or draws on a platform that records identity events (email or SMS OTP), timestamps, IP address and the document hash. Not in the Second Schedule, so not an electronic signature under section 2(1)(ta) and not a section 5 signature. It is evidence that a contract was formed electronically, which section 10A says is not unenforceable merely for being electronic. Proportionate for routine, low-value consents.
E-signature vs digital signature
The terms are not interchangeable. "Digital signature" is the cryptographic method under section 3; "electronic signature" is the statutory category that includes digital signatures and the other Second Schedule techniques. A platform signature is neither, in statutory terms, though it is often marketed as an e-signature.
What each method proves
| Identity assurance | Tamper evidence | Meets a statutory signature requirement (s. 5) | |
|---|---|---|---|
| DSC | Certificate issued after CA verification; key on token | Yes, cryptographic | Yes |
| Aadhaar eSign | Aadhaar authentication at signing | Yes, cryptographic | Yes |
| Platform signature | Email/phone control, audit trail | Yes if hash recorded and file sealed | No |
Documents that cannot be e-signed
Section 1(4) and the First Schedule, as amended on 26 September 2022, exclude negotiable instruments other than cheques and certain instruments in favour of RBI/SEBI/IRDAI/PFRDA/NHB-regulated entities; powers of attorney other than those in favour of such entities; trusts; and wills. Everything else, including commercial agreements, employment contracts, leases and, since 2022, immovable-property contracts, can be an electronic record with an electronic signature, subject to stamping and, where applicable, registration.
Proving it later
Since 1 July 2024, an e-signed document is proved under section 63 of the Bharatiya Sakshya Adhiniyam, 2023, which requires a certificate identifying the record and the system that produced it. The audit trail (hash, identity events, timestamps) is what the certificate describes. Keep it with the document.
Where signature sits in the lifecycle
Signature is one stage of six: request, draft, negotiate and approve, execute (stamp and sign), manage obligations, renew or exit. Treating e-signature as a standalone tool produces signed PDFs in email threads with no stamping step, no obligation tracking and no evidence pack. Treating it as the execution stage of a managed process is what makes the signature useful two years later.
Where Legatio fits. Legatio runs the execution stage with DSC, Aadhaar eSign and platform signature options per template, stamps before signing, records the audit trail, and carries the signed document into obligation tracking and renewal. The definitions and limits above apply to every provider.
Position stated as of October 2026. General information, not legal advice.