Electronic signatures will be given the same legal recognition as their written counterparts, if a directive being debated currently by the Council of Ministers comes into force. It will be part of a framework for secure business for Europe’s rapidly expanding internet commerce.
It is vital that people have the confidence electronically in the way that they trade non-electronically, says Eddie Murphy, senior consultant with Analysys Ltd, a Cambridge, UK-based telecommunications consultancy. He warned that firms do not have adequate electronic security, and are being forced to take risks, citing an internet auction house which was having to commit itself to covering users’ losses on small transactions in order to attract customers to the service.
The directive also covers question of service provider liability, single recognition of digital signatures types and importantly, it leaves the way ahead free for easy adoption of new technology. The proposal’s technology-neutral framework does not discriminate between the technologies used, such as digital signatures using asymmetric cryptography and biometrics, human identification using unique features like fingerprints or retinal scans.
No date has been set when the directives will become law. A Commission spokesperson warned that it may take time to impact on e-commerce. Before 2001, we’ll have nothing, said the official. It would be advantageous for this to be introduced quicker, said Murphy. But another EU spokesperson said that the legislation would be adopted by member states towards the end of this year and ratified by individual countries by 2001.
The directive is a follow-up to one of October 1997 called Ensuring security and trust in electronic communication – Towards a European framework for digital signatures and encryption.
