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Digitisation enables companies to make their processes more efficient and simpler. Electronic signatures play an important role in the area of document and contract management. In this article, you will learn everything you need to know about advanced electronic signatures (AES) and the differences to qualified electronic signatures (QES).
Definition: Digital vs. electronic signature
“Electronic signature” is an umbrella term for procedures that record consent to content. The eIDAS Regulation distinguishes between three types of electronic signatures: simple, advanced and qualified.
The term “digital signature” is often used interchangeably. In contrast to the electronic signature, however, the digital signature is not a legal term, but rather a technical process that verifies the identity of the signatory and guarantees the authenticity of a document. A certificate issued by a certification authority links the validation data of a signature to a person and confirms at least their name or pseudonym.
What is an advanced electronic signature (AES)?
An advanced electronic signature (AES) offers higher security standards than a simple electronic signature (SES). According to Article 26 of the EU eIDAS Regulation, the advanced electronic signature must fulfil the following criteria:
- It is clearly assigned to the signatory.
- It enables the signatory to be identified.
- It is created using electronic signature creation data that the signatory can use with a high degree of confidence under his sole control.
- It is linked to the data signed in this way in such a way that any subsequent changes to the data can be recognised.
With Certifaction, identification for the AES takes place via the signatory’s mobile phone number. The identity is linked to the mobile phone number, as you have to identify yourself when purchasing a SIM card.
Difference to the Qualified Electronic Signature (QES)
The qualified electronic signature (QES) according to eIDAS is an even more strictly regulated form of electronic signature. The qualified certificate can only be issued by a certified body (trust service provider) and contains the signatory’s unique identity data, which has been verified by comparing the person’s ID card or passport. The QES has the same legal probative value as a handwritten signature and is required in cases where the written form is prescribed.
The main difference between AES and QES therefore lies in the legal probative value and the requirements for identity verification. The AES is not legally valid in cases where written form is required. In all other cases, however, it is easier to use and more cost-effective than the QES, as identification via a trust service provider is not required.
Creation of an advanced electronic signature
An advanced electronic signature can be created with an eSigning tool such as Certifaction. Certifaction supports all signature types according to eIDAS (SES, AES and QES) and offers higher data security than providers such as DocuSign.
Step 1: To request a signature, the relevant document must be uploaded to the tool and the e-mail addresses of the signatories added. Optionally, Certifaction can also be used to specify the signing sequence.
Step 2: The signatories then receive a link to the document and can check it. To sign, they must enter their name and confirm their mobile phone number. They will receive a code by SMS.
Verification of an electronic signature
After signing with Certifaction, the name of the signatory and the type of signature used can be recognised on the signature card.
Signature cards from Certifaction: AES (left) vs. QES (right)
Even if you do not use special eSigning software, you can check signed documents. To do this, open the document in Adobe Acrobat Reader and call up the signature properties. In the case of a QES, you will now see the information “This is a qualified electronic signature […]” and the source of trust. In the case of an AES, the type of signature is not explicitly stated, but in the Certifaction example, the confirmed telephone number is listed as the reason. The AES trust source is not an official EU list.
Adobe Acrobat Reader, signature properties: AES (left) vs. QES (right)
Application of electronic signatures in practice
Electronic signatures can be used in a variety of documents and contracts. Not all parties have to sign electronically – a combination of handwritten signatures from one party and electronic signatures from the other party is also possible. However, due to better traceability, it is still advisable to use standardised electronic signatures.
In Germany, the advanced electronic signature (AES) is a legally recognised alternative to a handwritten signature, as long as no specific formal requirements are stipulated by law for the document to be signed. For B2B contracts in particular, no special form is often prescribed, which makes the use of AES particularly advantageous.
The AES is suitable, for example, for concluding sales contracts, placing orders or agreeing an open-ended tenancy. Although the simple electronic signature (SES) could also be used in these cases, it lacks the necessary probative value and document integrity compared to the advanced electronic signature.
Advantages and disadvantages of the advanced electronic signature
Advantages:
- Security: The AES guarantees the identification of the signatory and cannot be manipulated as it recognises any subsequent changes to data.
- Efficiency: It speeds up signature processes and eliminates waiting times for mailing.
- Cost savings: Compared to contract processing with a handwritten signature or QES, the AES is very cost-effective.
- Flexibility: It enables contracts to be signed at any time of day and without physical presence.
Disadvantages:
- Identification: If there is any doubt about the identity of the signatory, the name given must be checked against the mobile phone provider’s data. However, the provider’s data may be incomplete or incorrect. In addition, a court must first order the disclosure of this information.
- Legal validity: In cases where the written form is required, an AES is not sufficient. The QES must be used here.
Conclusion
Advanced electronic signatures offer an efficient, secure and cost-effective option for companies that want to digitise their contract processes. However, if the written form is specified, you always need the QES.
The choice of signature type therefore depends on which legal requirements your company has to fulfil and how reliable you want the identification of your business partners to be.
