The federal E-SIGN law can be found at http://www.gpoaccess.gov/uscode/index.html; look up Title 15 Chapter 96. This has some interesting requirements about when a law or rule requires that information be given to a consumer in writing. In order to avoid the need to give the information in electronic form rather than on paper, (I'm paraphrasing) the consumer must consent, the consumer must be informed of how to obtain a paper copy if the consumer withdraws consent, must be informed of the hardware and software requirements to access and retain the information. Also, the consumer must consent electronically "in a manner that reasonably demonstrates that the consumer can access information in the electronic form that will be used to provide the information that is the subject of the consent."
I understand this last part (in quotes) is intended to prevent consumers who do not own computers and don't know how to use them from being bamboozled into doing an electronic signing and being left with no papers, just a CD, and not understanding what to do with the CD. A consumer who knows how to fill out a web form giving consent probably knows how to view and print a PDF.
My reaction to this is that deciding if these requirements apply to the signing package, and if so, figuring out how to satisfy these detailed requirements, is well outside the expertise of a notary, and the lenders wouldn't want notaries trying to figure out something this complex. |
