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How digital agreements become legally binding

  • Writer: useHandshake.app
    useHandshake.app
  • Oct 13
  • 4 min read

Today, many agreements are made digitally. It is easy, fast, and convenient. But how do you ensure that a digital agreement is also legally binding? It is important to understand how the validity of digital agreements works. Here, I will explain what it takes for a digital agreement to be legally sound. It is about making the process simple, secure, and official.


What does the validity of digital agreements mean?


The validity of digital agreements means that an agreement entered into online or via digital media has the same legal force as a traditional paper-based agreement. It is not enough to simply send an email or text message. The agreement must meet certain requirements in order to be valid.


To ensure validity, the agreement must:


  • Be clearly worded so that both parties understand its content.

  • Be entered into with the consent of both parties.

  • Have some form of proof that the agreement has been accepted.

  • Comply with applicable law, including rules on signatures.


Digital signatures play a key role. They confirm that the person signing has actually approved the agreement. This can be done via MitID or other alternatives, which are secure and official methods in Europe.


Eye-level view of a person signing a digital contract on a tablet
Digital signature on tablet ensures validity

How can the validity of digital agreements be ensured?


There are several methods for ensuring that digital agreements are valid. The most important thing is that the agreement can be documented and proven. Here are some specific measures:


  1. Use of digital signatures

    Digital signatures via MitID or other recognized solutions ensure that the signatory is correctly identified. This makes the agreement legally binding.


  2. Clear documentation

    Save all versions of the agreement, including any changes and confirmations of acceptance. These can be emails, PDF files, or digital contracts.


  3. Clear terms and conditions

    Ensure that the agreement is written in clear and understandable language. Avoid ambiguities so that both parties know what they are agreeing to.


  4. Use of reliable platforms

    Choose a platform that is approved for handling digital agreements. This could be an app or a system that meets legal requirements.


  5. Identity verification

    Identity verification is crucial. MitID is the most secure method in Denmark for verifying the identity of the signatory.


By following these steps, you can be sure that the agreement is not just an informal agreement, but a legally binding agreement.


Close-up of a smartphone showing a digital signature confirmation screen
Confirmation of digital signature on smartphone

Can you get out of a binding agreement?


The short answer is: Yes, but it requires special circumstances. A legally binding agreement cannot simply be ignored. However, there are situations where the agreement can be terminated or amended.


Here are some examples:


  • Errors or misunderstandings

If a party has entered into the agreement based on errors or misunderstandings, the agreement may be declared invalid.


  • Coercion or unreasonable pressure

If a party has been pressured into signing, the agreement may be invalid.


  • Failure to fulfill the terms of the agreement

If one party fails to fulfill its obligations, the other party may have the right to terminate the agreement.


  • Legal requirements

If the agreement violates the law, it cannot be enforced.


It is important to read the agreement carefully and seek advice if you are in doubt. Digital agreements are just as binding as paper-based ones, so you should take them seriously.


High angle view of a person reviewing a contract document on a laptop
Reviewing the contract to understand termination

Practical tips for making secure digital agreements


I would like to share some concrete tips that make it easier to create secure digital agreements:


  • Use a Recognized Digital Platform

Platforms like useHandshake make it easy to create legally binding agreements. They handle signatures and documentation automatically.


  • Avoid Verbal Agreements Without Written Confirmation

Verbal agreements can be difficult to prove. Always make sure to get the agreement in writing.


  • Store All Documents Securely

Keep agreements and correspondence stored digitally so you can always retrieve them.


  • Use Clear and Simple Language

Avoid legal jargon. Write in a way that everyone can understand.


  • Confirm Identity with MitID

This ensures that the correct person is signing.


  • Follow Up on the Agreement

Send a confirmation once the agreement is signed, and keep track of deadlines and obligations.


These tips help you avoid misunderstandings and ensure that the agreement is valid and enforceable.


Why Choose Digital Agreements with MitID?


Digital agreements with MitID are the future. They are fast, secure, and easy to use. With MitID, you can sign agreements directly on your mobile. This saves time and paperwork.


Advantages of Digital Agreements with MitID:


  • Secure Identification

MitID guarantees that it’s you who is signing.


  • Fast Process

Agreements can be created and signed within minutes.


  • Environmentally Friendly

No paper, no unnecessary printing.


  • Official Documentation

The agreement is valid and can be used in court if necessary.


  • Easy Access

You can access your agreements anytime via your phone or computer.


Using digital agreements with MitID makes it easy to get things done officially and securely. It’s a great advantage for both individuals and small businesses.


The validity of digital agreements is not complicated when you know what it takes. With the right tools and methods, you can create secure, legally binding agreements in just a few minutes. It saves time, hassle, and provides peace of mind. Use digital solutions like useHandshake and MitID to make the process simple and secure. This way, you can focus on what truly matters.

 
 
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