eSignature Legality in Taiwan, China

E-Signature Legality Summary

This guide explains the electronic-signature framework in Taiwan, China, including the governing laws, legal effect, accepted signature methods, validity requirements, exclusions and practical business uses.

Applicable Laws

Electronic Signatures Act, as amended

Legal Status

Electronic records and signatures receive legal recognition in Taiwan, China under Electronic Signatures Act, as amended. The signing process must also satisfy every document-specific rule on identity, evidence, delivery, retention, witnessing, notarization, registration or filing.

Regulatory Authority

Ministry of Digital Affairs, Taiwan, China

Legal Recognition (Effect)

Under the Electronic Signatures Act and its Enforcement Rules, electronic signatures are legally recognized in Taiwan, China.

Pursuant to Article 4 of the Electronic Signatures Act, electronic documents and electronic signatures that meet the requirements of the Act have the same effect as physical documents and physical signatures. They shall not be denied legal effect solely on the grounds that they are in electronic form.

According to Article 4 of the Electronic Signatures Act, electronic records and electronic signatures that meet the requirements of this Act shall have the same legal effect as physical documents and physical signatures. Their legal effect shall not be denied solely on the ground that they are in electronic form.

Accepted Types of Electronic Signatures

Electronic signature types recognized in Taiwan, China include: Electronic Signature and Digital Signature.

An Electronic Seal is attached to and associated with an electronic document to identify and confirm the identity and qualifications of the signatory and the authenticity of the electronic document, pursuant to Article 2 of the Electronic Signatures Act. A Digital Signature is a type of Electronic Seal created by processing an electronic document through a mathematical algorithm or other method into digital data of a fixed length, encrypting that data with the signatory’s private key, and enabling verification with the public key; it must be supported by a certificate issued by a certification authority, pursuant to Article 2 of the Electronic Signatures Act.

Refers to data in electronic form attached to or associated with an electronic record and used to identify and confirm the identity and qualifications of the signer of the electronic record and the authenticity of the electronic record. (Article 2 of the Electronic Signatures Act)

A Digital Signature supported by a recognized digital certificate issued by a recognized certification authority is mandatory for matters involving a government authority. Ordinary Electronic Signatures (SES) may be unavailable for wills, powers of attorney, and employment-termination notices, which may require a handwritten signature or a Digital Signature with greater legal assurance.

• Digital Signature (DS):

Refers to a type of electronic signature created by using a mathematical algorithm or other means to transform an electronic record into digital data of a certain length, encrypted with the signer's private key, which can be verified with a public key and is accompanied by a certificate issued by a certification authority. (Article 2 of the Electronic Signatures Act)

Legal Requirements for Electronic Signatures

• Electronic Signature: Refers to data in electronic form attached to or associated with an electronic record and used to identify and confirm the identity and qualifications of the signer of the electronic record and the authenticity of the electronic record. (Article 2 of the Electronic Signatures Act)

• Digital Signature: Refers to a type of electronic signature created by using a mathematical algorithm or other means to transform an electronic record into digital data of a certain length, encrypted with the signer's private key, which can be verified with a public key and is accompanied by a certificate issued by a certification authority. (Article 2 of the Electronic Signatures Act)

Limitations and Exceptions

For documents required by the Civil Code to be in writing, such as holographic wills (Article 1190 of the Civil Code) or marriage registration (Article 982 of the Civil Code), if the content can be fully presented and can be retrieved for verification in the future, it may be done via electronic records. If these conditions cannot be met, electronic records cannot be used. (Article 5 of the Electronic Signatures Act)

When the law requires the submission of an original or master copy, and such document requires the verification of handwriting, seal impressions, or other means to identify the authenticity of the document, an electronic signature may not be accepted. (Article 7 of the Electronic Signatures Act)

Industry Applications and Typical Use Cases

Enterprises may choose between two types of electronic signatures as needed; both possess legal effect.

Government and Public Services

Tax Filing: Individuals and enterprises perform online filing and payment of comprehensive income tax and business tax through electronic signatures.

Commercial Registration: Company establishment, change of registration, and annual reports are handled online through the Ministry of Economic Affairs website, requiring the use of commercial certificates or government-recognized digital signatures.

Government Procurement: Suppliers conduct bidding and contract signing through the 'Government e-Procurement System,' which requires the use of legal electronic signatures.

Land and Household Administration: Certain online services (such as applications for electronic transcripts of household registration) require identity verification and signing in conjunction with a Natural Person Certificate.

Financial and Capital Markets

Online Banking and Securities: Corporate online banking for transactions such as large-value transfers and financing must use digital certificates (such as software/hardware tokens) issued by banks. Electronic securities trading (online account opening, order placement) must comply with the regulations of the Financial Supervisory Commission (FSC) and use secure electronic signatures.

Insurance and Financial Contracts: Certain life insurance and investment-linked products can be signed online, adopting electronic signature solutions that comply with the 'Fintech Development Roadmap' specifications.

Commercial Transactions and Document Signing

B2B Contracts: Supply chain orders, procurement contracts, and Non-Disclosure Agreements (NDAs) are progressively adopting electronic signatures to accelerate processes and reduce paper costs.

Human Resources Documents: Electronic employment contracts, salary confirmations, and performance evaluations, especially applicable to multinational enterprises or remote work scenarios.

E-commerce: Onboarding agreements between major platforms and sellers, and confirmation letters for high-value transactions, are increasingly adopting electronic signatures to strengthen legal protection.