PRIOR PRINTER'S NOS. 741, 1182, 1404 PRINTER'S NO. 1443
No. 555 Session of 1999
INTRODUCED BY HART, JUBELIRER, MELLOW, BRIGHTBILL, CONTI, DENT,
THOMPSON, GERLACH, WOZNIAK, EARLL, SLOCUM, KUKOVICH, MUSTO,
WAGNER, BOSCOLA, WAUGH, CORMAN, KASUNIC, ROBBINS AND MURPHY,
MARCH 24, 1999
AS AMENDED ON THIRD CONSIDERATION, OCTOBER 25, 1999
AN ACT
1 Regulating electronic transactions.
2 TABLE OF CONTENTS
3 Chapter 1. Preliminary Provisions
4 Section 101. Short title.
5 Section 102. Legislative findings.
6 Section 103. Definitions.
7 Section 104. Scope.
8 Section 105. Prospective application.
9 Chapter 3. Uniform Electronic Transactions
10 Section 301. Use of electronic records and electronic
11 signatures; variation by agreement.
12 Section 302. Construction and application.
13 Section 303. Legal recognition of electronic records,
14 electronic signatures and electronic contracts.
15 Section 304. Provision of information in writing; presentation
16 of records.
1 Section 305. Effect of change or error.
2 Section 306. Notarization and acknowledgment.
3 Section 307. Retention of electronic records; originals.
4 Section 308. Admissibility in evidence.
5 Section 309. Automated transaction.
6 Section 310. Time and place of sending and receipt.
7 Section 311. Transferable records.
8 Chapter 5. Attribution of Records and Signatures
9 Section 501. Attribution of electronic records and signatures.
10 Section 502. Use of security procedures.
11 Section 503. Effect of using security procedure to detect
12 errors or changes.
13 Chapter 7. Governmental Agencies
14 Section 701. Creation and retention of electronic records and
15 conversion of written records.
16 Section 702. Acceptance and distribution of electronic records.
17 Section 703. Interoperability.
18 Chapter 51. Miscellaneous Provisions
19 Section 5101. Effective date.
20 The General Assembly of the Commonwealth of Pennsylvania
21 hereby enacts as follows:
22 CHAPTER 1
23 PRELIMINARY PROVISIONS
24 Section 101. Short title.
25 This act shall be known and may be cited as the Uniform
26 Electronic Transactions Act.
27 Section 102. Legislative findings.
28 The General Assembly finds and declares as follows:
29 (1) electronic commerce is expanding rapidly and is an
30 engine for economic growth in this Commonwealth and the
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1 United States; and
2 (2) uniformity among state laws recognizing the validity
3 and enforceability of electronic signatures, records and
4 writings is important to the continued expansion of
5 electronic commerce.
6 The General Assembly should enact the Uniform Electronic
7 Transactions Act submitted to the state legislatures by the
8 National Conference of Commissioners of Uniform State Laws with
9 additions to enhance and promote the reliability of electronic
10 commerce.
11 Section 103. Definitions.
12 The following words and phrases when used in this act shall
13 have the meanings given to them in this section unless the
14 context clearly indicates otherwise:
15 "Agreement." The bargain of the parties in fact, as found in
16 their language or inferred from other circumstances and from
17 rules, regulations and procedures given the effect of agreements
18 under laws otherwise applicable to a particular transaction.
19 "Automated transaction." A transaction conducted or
20 performed, in whole or in part, by electronic means or
21 electronic records, in which the acts or records of one or both
22 parties are not reviewed by an individual in the ordinary course
23 in forming a contract, performing under an existing contract or
24 fulfilling an obligation required by the transaction.
25 "Computer program." A set of statements or instructions to
26 be used directly or indirectly in an information processing
27 system in order to bring about a certain result.
28 "Consumer." An individual involved in an electronic
29 transaction primarily for personal, family or household
30 purposes.
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1 "Contract." The total legal obligation resulting from the
2 parties' agreement as affected by this act and other applicable
3 law.
4 "Electronic." Relating to technology having electrical,
5 digital, magnetic, wireless, optical, electromagnetic or similar
6 capabilities.
7 "Electronic agent." A computer program or an electronic or
8 other automated means used independently to initiate an action
9 or respond to electronic records or performances, in whole or in
10 part, without review or action by an individual.
11 "Electronic record." A record created, generated, sent,
12 communicated, received or stored by electronic means.
13 "Electronic signature." An electronic sound, symbol or
14 process attached to or logically associated with a record and
15 executed or adopted by a person with the intent to sign the
16 record.
17 "Executive agency." A department, board, commission,
18 authority, officer or agency, of the Executive Department,
19 subject to the policy, supervision and control of the Governor.
20 "Governmental agency." An executive agency, an independent
21 agency, a State-affiliated entity or State-related institution <--
22 or other instrumentality of the Commonwealth. The term includes
23 authorities and political subdivisions, POLITICAL SUBDIVISIONS <--
24 AND STATE-RELATED INSTITUTIONS.
25 "Independent agency." A board, commission or other agency or
26 officer of the Executive Department, that is not subject to the
27 policy supervision and control of the Governor.
28 "Information." Data, text, images, sounds, codes, computer
29 programs, software, data bases or the like.
30 "Information processing system." An electronic system for
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1 creating, generating, sending, receiving, storing, displaying or
2 processing information.
3 "Person." Any individual, corporation, business trust,
4 estate, trust, partnership, limited liability company,
5 association, joint venture, governmental agency, public
6 corporation or other legal or commercial entity.
7 "Record." Information which is inscribed on a tangible
8 medium or is stored in an electronic or other medium and which
9 is retrievable in perceivable form.
10 "Security procedure." A procedure employed for the purpose
11 of verifying that an electronic signature, record or performance
12 is that of a specific person or for detecting changes or errors
13 in the information in an electronic record. The term includes a
14 procedure which requires the use of algorithms or other codes,
15 identifying words or numbers, encryption or callback or other
16 acknowledgment procedures.
17 "State." A state of the United States, the District of
18 Columbia, Puerto Rico, the United States Virgin Islands or any
19 territory or insular possession subject to the jurisdiction of
20 the United States. The term includes an Indian Tribe or Band or
21 an Alaskan Native Village, which is recognized by Federal law or
22 formally acknowledged by a state.
23 "State-affiliated entity OR OTHER INSTRUMENTALITY." A <--
24 Commonwealth authority or a Commonwealth entity OR <--
25 INSTRUMENTALITY. The term includes the Pennsylvania Turnpike
26 Commission, the Pennsylvania Housing Finance Agency, the
27 Pennsylvania Municipal Retirement System, the Pennsylvania
28 Infrastructure Investment Authority, the State Public School
29 Building Authority, the Pennsylvania Higher Educational
30 Facilities Authority and the State System of Higher Education.
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1 "State-related institution." The Pennsylvania State
2 University, the University of Pittsburgh, Lincoln University or
3 Temple University.
4 "Transaction." An action or set of actions occurring between
5 two or more persons relating to the conduct of business,
6 commercial or governmental affairs.
7 Section 104. Scope.
8 (a) General rule.--Except as provided in subsection (b),
9 this act applies to electronic records and electronic signatures
10 relating to a transaction.
11 (b) Exception.--Subject to subsection (c), this act does not
12 apply to a transaction to the extent it is governed by any of
13 the following:
14 (1) A law governing the creation and execution of wills,
15 codicils or testamentary trusts.
16 (2) The provisions of 13 Pa.C.S. (relating to Commercial
17 Code) other than:
18 (i) §§ 1107 (relating to waiver or renunciation of
19 claim or right after breach) and 1206 (relating to
20 statute of frauds for kinds of personal property not
21 otherwise covered);
22 (ii) Division 2 (relating to sales); and
23 (iii) Division 2A (relating to leases).
24 (c) Limitation of exception.--This act applies to an
25 electronic record or electronic signature otherwise excluded
26 from the application of this act under subsection (b) to the
27 extent it is governed by a law other than those specified in
28 subsection (b).
29 (d) Other law.--A transaction subject to this act is also
30 subject to other applicable substantive law.
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1 Section 105. Prospective application.
2 This act applies to an electronic record or electronic
3 signature created, generated, sent, communicated, received or
4 stored on or after the effective date of this act.
5 CHAPTER 3
6 UNIFORM ELECTRONIC TRANSACTIONS
7 Section 301. Use of electronic records and electronic
8 signatures; variation by agreement.
9 (a) Electronic means or form not required.--This act does
10 not require a record or signature to be created, generated,
11 sent, communicated, received, stored or otherwise processed or
12 used by electronic means or in electronic form.
13 (b) Consent.--This act applies only to transactions between
14 parties each of which has agreed to conduct transactions by
15 electronic means. Whether the parties agree to conduct a
16 transaction by electronic means is determined from the context
17 and surrounding circumstances, including the parties' conduct.
18 (c) Other transactions.--A party that agrees to conduct a
19 transaction by electronic means may refuse to conduct other
20 transactions by electronic means. The right granted by this
21 subsection may not be waived by agreement.
22 (d) Variance by agreement.--Except as otherwise provided in
23 this act, the effect of any of its provisions may be varied by
24 agreement. The presence in certain provisions of this act of the
25 words "unless otherwise agreed," or words of similar import,
26 does not imply that the effect of other provisions may not be
27 varied by agreement.
28 (e) Conclusions of law.--Whether an electronic record or
29 electronic signature has legal consequences is determined by
30 this act and other applicable law.
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1 Section 302. Construction and application.
2 This act must be construed and applied:
3 (1) to facilitate electronic transactions consistent
4 with other applicable law;
5 (2) to be consistent with reasonable practices
6 concerning electronic transactions and with the continued
7 expansion of those practices; and
8 (3) to effectuate its general purpose to make uniform
9 the law with respect to the subject of this act among states
10 enacting it.
11 Section 303. Legal recognition of electronic records,
12 electronic signatures and electronic contracts.
13 (a) Form.--A record or signature may not be denied legal
14 effect or enforceability solely because it is in electronic
15 form.
16 (b) Formation.--A contract may not be denied legal effect or
17 enforceability solely because an electronic record was used in
18 its formation.
19 (c) Writing.--If a law requires a record to be in writing,
20 an electronic record satisfies the law.
21 (d) Signature.--If a law requires a signature, an electronic
22 signature satisfies the law.
23 Section 304. Provision of information in writing; presentation
24 of records.
25 (a) Writing.--If parties have agreed to conduct a
26 transaction by electronic means and a law requires a person to
27 provide, send or deliver information in writing to another
28 person, the requirement is satisfied if the information is
29 provided, sent or delivered, as the case may be, in an
30 electronic record capable of retention by the recipient at the
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1 time of receipt. An electronic record is not capable of
2 retention by the recipient if the sender or its information
3 processing system inhibits the ability of the recipient to print
4 or store the electronic record.
5 (b) Records.--If a law other than this act requires a record
6 to be posted or displayed in a certain manner, to be sent,
7 communicated or transmitted by a specified method or to contain
8 information which is formatted in a certain manner, the
9 following rules apply:
10 (1) The record must be posted or displayed in the manner
11 specified in the other law.
12 (2) Except as otherwise provided in subsection (d)(2),
13 the record must be sent, communicated or transmitted by the
14 method specified in the other law.
15 (3) The record must contain the information formatted in
16 the manner specified in the other law.
17 (c) Unenforceable.--If a sender inhibits the ability of a
18 recipient to store or print an electronic record, the electronic
19 record is not enforceable against the recipient.
20 (d) Variance by agreement.--The requirements of this section
21 may not be varied by agreement except as follows:
22 (1) To the extent a law other than this act requires
23 information to be provided, sent or delivered, in writing,
24 but permits that requirement to be varied by agreement, the
25 requirement under subsection (a) that the information be in
26 the form of an electronic record capable of retention may
27 also be varied by agreement.
28 (2) A requirement under a law other than this act to
29 send, communicate or transmit a record by first-class mail,
30 postage prepaid, regular United States mail, may be varied by
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1 agreement to the extent permitted by the other law.
2 Section 305. Effect of change or error.
3 If a change or error in an electronic record occurs in a
4 transmission between parties to a transaction, the following
5 rules apply:
6 (1) If the parties have agreed to use a security
7 procedure to detect changes or errors and one party has
8 conformed to the procedure, but the other party has not, and
9 the nonconforming party would have detected the change or
10 error had that party also conformed, the conforming party may
11 avoid the effect of the changed or erroneous electronic
12 record.
13 (2) In an automated transaction involving an individual,
14 the individual may avoid the effect of an electronic record
15 that resulted from an error made by the individual in dealing
16 with the electronic agent of another person if the electronic
17 agent did not provide an opportunity for the prevention or
18 correction of the error and, at the time the individual
19 learns of the error, the individual:
20 (i) promptly notifies the other person of the error
21 and that the individual did not intend to be bound by the
22 electronic record received by the other person;
23 (ii) takes reasonable steps, including steps which
24 conform to the other person's reasonable instructions, to
25 return to the other person or, if instructed by the other
26 person, to destroy the consideration received, if any, as
27 a result of the erroneous electronic record; and
28 (iii) has not used or received any benefit or value
29 from the consideration, if any, received from the other
30 person.
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1 (3) If neither paragraph (1) nor paragraph (2) applies,
2 the change or error has the effect provided by other law,
3 including the law of mistake, and the parties' contract, if
4 any.
5 (4) Paragraphs (2) and (3) may not be varied by
6 agreement.
7 Section 306. Notarization and acknowledgment.
8 If a law requires a signature or record to be notarized,
9 acknowledged, verified or made under oath, the requirement is
10 satisfied if the electronic signature of the person authorized
11 to perform those services, together with all other information
12 required to be included by other applicable law, is attached to
13 or logically associated with the signature or record.
14 Section 307. Retention of electronic records; originals.
15 (a) Requirement.--Subject to subsection (b), if a law
16 requires that a record be retained, the requirement is satisfied
17 by retaining an electronic record of the information in the
18 record which:
19 (1) accurately reflects the information set forth in the
20 record after it was first generated in its final form as an
21 electronic record or otherwise; and
22 (2) remains accessible for later reference.
23 (b) Transmission information.--A requirement to retain a
24 record in accordance with subsection (a) does not apply to any
25 information the sole purpose of which is to enable the record to
26 be sent, communicated or received.
27 (c) Agents.--A person may satisfy subsection (a) by using
28 the services of another person if the requirements of that
29 subsection are satisfied.
30 (d) Originals.--If a law requires a record to be presented
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1 or retained in its original form, or provides consequences if
2 the record is not presented or retained in its original form,
3 that law is satisfied by an electronic record retained in
4 accordance with subsection (a).
5 (e) Checks.--If a law requires retention of a check, that
6 requirement is satisfied by retention of an electronic record of
7 the information on the front and back of the check in accordance
8 with subsection (a).
9 (f) Evidence; audits.--A record retained as an electronic
10 record in accordance with subsection (a) satisfies a law
11 requiring a person to retain a record for evidentiary, audit or
12 like purposes unless a statute enacted after the effective date
13 of this act specifically prohibits the use of an electronic
14 record for the specified purpose.
15 (g) Governmental agencies.--This section does not preclude a
16 governmental agency of this Commonwealth from specifying
17 additional requirements for the retention of a record subject to
18 the governmental agency's jurisdiction, including the
19 requirement that a record be retained in a nonelectronic form.
20 Section 308. Admissibility in evidence.
21 In a proceeding, evidence of a record or signature may not be
22 excluded solely because it is in electronic form.
23 Section 309. Automated transaction.
24 In an automated transaction, the following rules apply:
25 (1) A contract may be formed by the interaction of
26 electronic agents of the parties, even if no individual was
27 aware of or reviewed the electronic agents' actions or the
28 resulting terms and agreements.
29 (2) A contract may be formed by the interaction of an
30 electronic agent and an individual, acting on the
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1 individual's own behalf or for another person, including by
2 an interaction in which the individual performs actions which
3 the individual is free to refuse to perform and which the
4 individual knows or has reason to know will cause the
5 electronic agent to complete the transaction or performance.
6 (3) The terms of the contract are determined by the
7 substantive law applicable to it.
8 Section 310. Time and place of sending and receipt.
9 (a) Sending.--Unless otherwise agreed between the sender and
10 the recipient, an electronic record is sent when it:
11 (1) is addressed properly or otherwise directed properly
12 to an information processing system that the recipient has
13 designated or uses for the purpose of receiving electronic
14 records or information of the type sent and from which the
15 recipient is able to retrieve the electronic record;
16 (2) is in a form capable of being processed by that
17 system; and
18 (3) enters an information processing system outside the
19 control of the sender or of a person that sent the electronic
20 record on behalf of the sender or enters a region of the
21 information processing system designated or used by the
22 recipient which is under the control of the recipient.
23 (b) Receipt.--Unless otherwise agreed between a sender and
24 the recipient, an electronic record is received when:
25 (1) it enters an information processing system that the
26 recipient has designated or uses for the purpose of receiving
27 electronic records or information of the type sent and from
28 which the recipient is able to retrieve the electronic
29 record; and
30 (2) it is in a form capable of being processed by that
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1 system.
2 (c) Physical location.--Subsection (b) applies even if the
3 place the information processing system is located is different
4 from the place the electronic record is deemed to be received
5 under subsection (d).
6 (d) Place of business.--Unless otherwise expressly provided
7 in the electronic record or agreed between the sender and the
8 recipient, an electronic record is deemed to be sent from the
9 sender's place of business and to be received at the recipient's
10 place of business. For purposes of this subsection, the
11 following rules apply:
12 (1) If the sender or recipient has more than one place
13 of business, the place of business of that person is the
14 place having the closest relationship to the underlying
15 transaction.
16 (2) If the sender or the recipient does not have a place
17 of business, the place of business is the sender's or
18 recipient's residence, as the case may be.
19 (e) Actual receipt.--An electronic record is received under
20 subsection (b) even if no individual is aware of its receipt.
21 (f) Contents.--Receipt of an electronic acknowledgment from
22 an information processing system described in subsection (b)
23 establishes that a record was received but by itself does not
24 establish that the content sent corresponds to the content
25 received.
26 (g) Legal effect.--If a person is aware that an electronic
27 record purportedly sent under subsection (a), or purportedly
28 received under subsection (b), was not actually sent or
29 received, the legal effect of the sending or receipt is
30 determined by other applicable law. Except to the extent
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1 permitted by the other law, the requirements of this subsection
2 may not be varied by agreement.
3 Section 311. Transferable records.
4 (a) Control.--A person has control of a transferable record
5 if a system employed for evidencing the transfer of interests in
6 the transferable record reliably establishes that person as the
7 person to which the transferable record was issued or
8 transferred.
9 (b) Compliance.--A system satisfies subsection (a), and a
10 person is deemed to have control of a transferable record, if
11 the transferable record is created, stored and assigned in such
12 a manner that all of the following paragraphs apply:
13 (1) A single authoritative copy of the transferable
14 record exists which is unique, identifiable and, except as
15 otherwise provided in paragraphs (4), (5) and (6),
16 unalterable.
17 (2) The authoritative copy identifies the person
18 asserting control as:
19 (i) the person to which the transferable record was
20 issued; or
21 (ii) if the authoritative copy indicates that the
22 transferable record has been transferred, the person to
23 which the transferable record was most recently
24 transferred.
25 (3) The authoritative copy is communicated to and
26 maintained by the person asserting control or that person's
27 designated custodian.
28 (4) Copies or revisions which add or change an
29 identified assignee of the authoritative copy can be made
30 only with the consent of the person asserting control.
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1 (5) Each copy of the authoritative copy and any copy of
2 a copy is readily identifiable as a copy which is not the
3 authoritative copy.
4 (6) Any revision of the authoritative copy is readily
5 identifiable as authorized or unauthorized.
6 (c) Holders.--Except as otherwise agreed, a person having
7 control of a transferable record is the holder, as defined in
8 paragraph (2) of the definition of "holder" in 13 Pa.C.S. § 1201
9 (relating to general definitions), of the transferable record
10 and has the same rights and defenses as a holder of an
11 equivalent record or writing under 13 Pa.C.S. (relating to
12 Commercial Code), including, if the applicable statutory
13 requirements are satisfied, §§ 3302(a) (relating to holder in
14 due course), 7501 (relating to form of negotiation and
15 requirements of "due negotiation") and 9308 (relating to
16 purchase of chattel paper and instruments). Delivery, possession
17 and endorsement are not required to obtain or exercise any of
18 the rights under this subsection.
19 (d) Obligors.--Except as otherwise agreed, an obligor under
20 a transferable record has the same rights and defenses as an
21 equivalent obligor under equivalent records or writings under 13
22 Pa.C.S (relating to Commercial Code).
23 (e) Proof.--If requested by a person against which
24 enforcement is sought, the person seeking to enforce the
25 transferable record shall provide reasonable proof that the
26 person is in control of the transferable record. Proof may
27 include access to the authoritative copy of the transferable
28 record and related business records sufficient to review the
29 terms of the transferable record and to establish the identity
30 of the person having control of the transferable record.
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1 (f) Definition.--As used in this section, the term
2 "transferable record" means an electronic record:
3 (1) which would be a note under 13 Pa.C.S. Div. 3
4 (relating to negotiable instruments) or a document under 13
5 Pa.C.S. Div. 7 (relating to warehouse receipts, bills of
6 lading and other documents of title) if the electronic record
7 were in writing; and
8 (2) the issuer of the electronic record expressly has
9 agreed is a transferable record.
10 CHAPTER 5
11 ATTRIBUTION OF RECORDS AND SIGNATURES
12 Section 501. Attribution of electronic records and signatures.
13 An electronic record or electronic signature is attributed to
14 a person if it was the act of that person or its electronic
15 agent, or if the person is otherwise bound by it under the law
16 of agency, the provisions of section 502 (relating to secure
17 electronic records and signatures) or other law. The party
18 relying on attribution of an electronic transaction to another
19 person has the burden of establishing attribution.
20 Section 502. Use of security procedures.
21 (a) Security procedure.--If there is a security procedure
22 between the parties with respect to the electronic transaction,
23 the following rules apply:
24 (1) The effect of compliance with a security procedure
25 established by a law or regulation is determined by that law
26 or regulation.
27 (2) In all other cases, if the parties agree to use or
28 otherwise knowingly adopt a security procedure to verify the
29 person from which an electronic record has been sent, the
30 record is attributable to the person identified by the
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1 security procedure if the person relying on the attribution
2 establishes that:
3 (i) the security procedure was commercially
4 reasonable;
5 (ii) the party accepted or relied on the electronic
6 message in good faith and in compliance with the security
7 procedure and any additional agreement with or separate
8 instructions of the other party; and
9 (iii) the security procedure indicated that the
10 electronic message was from the person to which
11 attribution is sought.
12 (3) If the electronic message is not binding on a person
13 under section 501 but is otherwise binding under paragraph
14 (2), the person is nevertheless not bound under paragraph (2)
15 for the electronic message if the person satisfies the burden
16 of establishing that the electronic message was caused
17 directly or indirectly by a person:
18 (i) that was not entrusted at any time with the
19 right or duty to act for the person with respect to such
20 electronic messages or security procedure;
21 (ii) that lawfully obtained access to transmitting
22 facilities of the person if such access facilitated the
23 misuse of the security procedure; or
24 (iii) that obtained, from a source controlled by the
25 person, information facilitating misuse of the security
26 procedure.
27 (b) Commercial reasonableness.--The efficacy and commercial
28 reasonableness of a security procedure is to be determined by
29 the court, taking into consideration the purposes of the
30 security procedure and the circumstances at the time the parties
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1 adopted the procedure. A security procedure established by law
2 or regulation is commercially reasonable for transactions
3 governed by the law or regulation.
4 (c) Inapplicability to consumers.--The provisions of this
5 section shall not apply to any electronic transaction to which a
6 consumer is a party.
7 Section 503. Effect of using security procedure to detect
8 errors or changes.
9 (a) General rule.--If the parties use a commercially
10 reasonable security procedure to detect errors or changes in an
11 electronic transaction, the following rules shall apply:
12 (1) The effect of a security procedure is determined by
13 the agreement or, in the absence of agreement, by this
14 section or any law establishing the security procedure.
15 (2) Unless the circumstances indicate otherwise, if a
16 security procedure indicates that an electronic message has
17 not been altered since a particular time, it is treated as
18 not having been altered since that time.
19 (3) If a security procedure indicates that there is no
20 error in content, an electronic message is treated at the
21 time it was sent as having had the content intended by the
22 person creating or sending it pursuant to the security
23 procedure.
24 (4) The sender is not bound by a change or error if:
25 (i) the sender has conformed to a security procedure
26 but the other party has not; and
27 (ii) the nonconforming party would have detected the
28 change if the nonconforming party had also conformed.
29 (b) Inapplicability to consumers.--The provisions of this
30 section shall not apply to any electronic transaction to which a
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1 consumer is a party.
2 CHAPTER 7
3 GOVERNMENTAL AGENCIES
4 Section 701. Creation and retention of electronic records and
5 conversion of written records.
6 Each governmental agency of this Commonwealth shall determine
7 whether, and the extent to which, it will create and retain
8 electronic records and convert written records to electronic
9 records. Executive agencies shall also comply with standards
10 published by the Office of Administration.
11 Section 702. Acceptance and distribution of electronic records.
12 (a) Option.--Each governmental agency of this Commonwealth
13 shall determine whether, and the extent to which, it will send
14 and accept electronic records and electronic signatures to and
15 from other persons and otherwise create, generate, communicate,
16 store, process, use and rely upon electronic records and
17 electronic signatures.
18 (b) Specifics.--To the extent that a governmental agency
19 uses electronic records and electronic signatures under
20 subsection (a), the governmental agency, giving due
21 consideration to security, may specify all of the following:
22 (1) The manner and format in which the electronic
23 records must be created, generated, sent, communicated,
24 received and stored and the systems established for those
25 purposes.
26 (2) If electronic records must be signed by electronic
27 means, the type of electronic signature required, the manner
28 and format in which the electronic signature must be affixed
29 to the electronic record, and the identity of or criteria
30 that must be met by any third party used by a person filing a
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1 document to facilitate the process.
2 (3) Control processes and procedures as appropriate to
3 ensure adequate preservation, disposition, integrity,
4 security, confidentiality and auditability of electronic
5 records.
6 (4) Any other required attributes for electronic records
7 which are specified for corresponding nonelectronic records
8 or reasonably necessary under the circumstances.
9 (c) Not mandatory.--This chapter does not require a
10 governmental agency of this Commonwealth to use or permit the
11 use of electronic records or electronic signatures.
12 Section 703. Interoperability.
13 The standards published by the Office of Administration under
14 section 701 should encourage and promote consistency and
15 interoperability with similar requirements adopted by other
16 governmental agencies of this and other states and the Federal
17 Government and nongovernmental persons interacting with
18 governmental agencies of this Commonwealth. If appropriate,
19 those standards may specify differing levels of standards from
20 which governmental agencies of this Commonwealth may choose in
21 implementing the most appropriate standard for a particular
22 application.
23 CHAPTER 51
24 MISCELLANEOUS PROVISIONS
25 Section 5101. Effective date.
26 This act shall take effect in 30 days.
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