Portugal: legal requirements and validity of electronic signatures

The guide below sets out the legal signature requirements in Portugal, focusing on the law around electronic signature and its implications for businesses and individuals.

Main laws determining the legality and binding status of electronic signatures in Portugal

In Portugal, the legality and binding status of electronic signatures are primarily governed by:

1. eIDAS Regulation (Regulation (EU) No 910/2014): a European Union regulation that has direct effect in all EU member states, including Portugal. eIDAS establishes the legal framework for electronic signatures, and other trust services across the EU. It establishes three types of electronic signatures:

• Simple electronic signature - This is the most basic form, consisting of data attached to or logically associated with other electronic data, which the signatory uses to sign. While it provides a basic level of security, it is generally not suitable for high-value transactions or sensitive documents.
• Advanced electronic signature - An advanced electronic signature must meet specific criteria: it must be uniquely linked to the signatory, capable of identifying the signatory, created using electronic signature creation data that the signatory can use under their sole control, and linked to the data signed in such a way that any subsequent change in the data is detectable.
• Qualified electronic signature - This is an advanced electronic signature created using a qualified electronic signature creation device and is based on a qualified certificate issued by a trust service provider. It has the same legal effect as a traditional “wet ink” signature across the EU, including Portugal.

Each type offers different levels of security and legal assurance, with qualified electronic signatures providing the highest level of legal certainty. You can find the full text of the Regulation here.

2. Decree Law No. 12/2021: The Portuguese Decree Law No. 12/2021 further complements the eIDAS regulation by detailing national provisions and guidelines for implementing electronic signatures in Portugal. It implements the EU eIDAS Regulation (Regulation (EU) No 910/2014) into Portuguese national law. This legislation provides a comprehensive framework for the use and legal recognition of electronic signatures in Portugal, which you can find here.

These laws establish the legal framework for the recognition and use of electronic signatures in Portugal.

Relevant standards and conditions for a legally binding electronic signature in Portugal

To be legally binding in Portugal, an electronic signature must meet certain standards and conditions. These include:

1. Identification and authentication: The electronic signature must be uniquely linked to the signatory and be capable of identifying the signatory. 
2. Control: The method used to create the electronic signature must be under the sole control of the signatory.
3. Intent to sign: The signatory must demonstrate a clear intention to sign the document electronically.
4. Consent: All parties involved must agree to use electronic signatures for the transaction.
5. Association with the document: The electronic signature must be logically associated with the document, ensuring that any subsequent changes to the document are detectable.
6. Integrity of the document: The signed document must remain unchanged after the signature is applied. Any alteration should be detectable, ensuring the document's integrity.
7. Compliance with EU standards: Electronic signatures must align with the EU standards outlined in the eIDAS Regulation, ensuring cross-border recognition and legal enforceability.

For qualified electronic signatures, which offer the highest level of security and legal assurance, the following additional requirements must be met:

8. Certification by trusted service providers: For a qualified electronic signature to be legally binding, it must be accompanied by a qualified certificate issued by a trusted service provider. 
9. Use of secure signature creation devices: The signature must be created using a secure signature creation device, ensuring the confidentiality and integrity of the signing process.

Qualified electronic signatures which meet additional technical and legal requirements are given the same legal effect as handwritten signatures in Portugal. 

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Find out more about eSignature laws in Europe:

• Legal requirements for eSignature in Austria
• Legal requirements for eSignature in Belgium
• Legal requirements for eSignature in France
• Legal requirements for eSignature in Germany
• Legal requirements for eSignature in Gibraltar
• Legal requirements for eSignature in Greece
• Legal requirements for eSignature in Ireland
• Legal requirements for eSignature in Malta
• Legal requirements for eSignature in Spain
• Legal requirements for eSignature in Switzerland
• Legal requirements for eSignature in the UK

Circumstances where an electronic signature may not be valid in Portugal

While electronic signatures are broadly accepted in Portugal, there are specific circumstances where they may not be valid:

1. Non compliance with eIDAS requirements: If the electronic signature does not meet the necessary criteria outlined by eIDAS, it may be deemed invalid.
2. Specific legal exceptions: Certain documents and transactions still require handwritten signatures by law, such as those related to family law, inheritance, and certain real estate transactions.
3. Government-related documents: Specific government forms or applications might require traditional handwritten signatures.
4. Absence of consent: If one of the parties does not consent to the use of an electronic signature, the signature may not be enforceable.
5. Lack of identification: If the signatory cannot be uniquely identified, the electronic signature may not be legally binding.
6. Altered documents: If the integrity of the signed document is compromised, the signature may be considered invalid.

Recent court decisions on electronic signatures in Portugal

Portugal has seen several court cases that reinforce the legality and enforceability of electronic signatures. The courts have consistently upheld the legal validity of electronic signatures, particularly those conforming to the standards of an advanced electronic signature or a qualified electronic signature.

For instance, in process 3031/16.5T8ACB.C1, the Court of Appeal of Coimbra recognised qualified electronic signatures as ‘equivalent to the autograph signature of documents in written form on paper’ and determined that an electronic signature can only be confirmed in the electronic file containing such a document. Therefore, merely referencing the signature without the actual signature would not be valid. You can find the judgement here. 

Similarly, in process 02481/19.0BELSB, the Central Administrative Court North also recognised the use and validity of electronic signatures, provided they conform to legal requirements, thereby affirming their legally binding status. You can find the judgement here. 

These judicial decisions highlight the strong acceptance and integration of electronic signatures within Portugal's legal system, provided they adhere to established legal standards. The absence of significant legal challenges questioning the validity of eSignatures underscores the robustness and stability of the legal framework governing their use. This stability reflects a well-established system that commands the confidence of both the judiciary and the broader legal community, reinforcing the reliability and enforceability of electronic signatures in Portugal.

Forthcoming legislation on electronic signatures in Portugal

Currently, no significant changes are anticipated in Portugal’s legislation governing electronic signatures. However, the ongoing advancement of digital technologies may lead to updates that enhance security and adaptability. Portugal remains committed to aligning with European Union initiatives aimed at improving digital services and enabling cross-border recognition of electronic identities and signatures.

The Portuguese government is dedicated to continuously refining its electronic signature framework to stay ahead of technological developments and incorporate international best practices. This proactive approach ensures the security and reliability of electronic signatures while supporting broader goals of digital transformation and interoperability within the EU. Future enhancements may include integrating emerging technologies such as blockchain and AI into the electronic signature infrastructure, further strengthening Portugal’s role in the global digital economy.

Additionally, as part of the EU’s wider objectives, Portugal is expected to participate in efforts to harmonise electronic identification and trust services across member states. This will create a more seamless and secure digital environment, allowing businesses and individuals in Portugal to engage in cross-border transactions with greater confidence and ease. While no immediate legislative changes are on the horizon, the government’s proactive stance reflects a commitment to building a future-ready digital ecosystem.

Industry-specific standards for electronic signatures in Portugal

While the general legal framework for electronic signatures applies across all sectors, certain industries in Portugal may have specific requirements for electronic signatures:

1. Financial services: Financial institutions often require advanced or qualified electronic signatures for high-value transactions to ensure maximum security and compliance with regulatory standards.
2. Healthcare: The healthcare sector mandates stringent standards for electronic signatures, especially for patient consent forms and medical records, to protect sensitive information.
3. Real estate: While some real estate transactions still require traditional signatures, there's a growing trend towards using electronic signatures for certain documents in the property market. Qualified electronic signatures are often required to ensure the authenticity and integrity of the documents.
4. Legal services: Law firms and legal service providers in Portugal use advanced or qualified electronic signatures for some contracts and official correspondence.

Adoption of electronic signatures in Portugal

The adoption of electronic signatures in Portugal has been steadily rising, with businesses across diverse sectors such as finance, real estate, healthcare, and legal services increasingly utilising them to streamline operations and minimise paperwork. The shift from traditional paper-based processes to digital alternatives has been largely driven by the need for faster, more secure, and cost-effective ways of conducting business. The COVID-19 pandemic further accelerated this trend, as remote work and digital transactions became critical for maintaining business continuity.

This growing reliance on electronic signatures has not only enhanced operational efficiency but also contributed to environmental sustainability by reducing the need for paper. Moreover, the strong legal framework in Portugal, supported by the eIDAS Regulation, provides businesses with the assurance that electronic signatures are legally recognised and enforceable.

As digital transformation continues to evolve, the use of electronic signatures is expected to become even more widespread. Emerging technologies such as blockchain and artificial intelligence are poised to further enhance the security and functionality of electronic signatures, making them a fundamental component of the digital economy. Consequently, businesses in Portugal are well-positioned to capitalise on these advancements, driving further growth and innovation in their use across all sectors.

Leading providers of electronic signature services in Portugal

Several providers offer electronic signature solutions in Portugal, each with unique features and compliance standards.Some of the leading providers include:

1. DocuSign: A global leader in electronic signature solutions.
2. Juro: A popular contract automation platform known for its user-friendly interface and robust security features, Juro is a popular choice for businesses of all sizes.
3. Adobe Sign: Part of the Adobe Document Cloud suite.
4. HelloSign: A Dropbox company providing electronic signature solutions.
5. PandaDoc: Combines document creation with electronic signature capabilities.
6. SignNow: Offers a user-friendly platform for electronic signatures. 
7. Yousign: A European electronic signature solution.
8. Zoho Sign: Part of the Zoho suite, providing seamless integration with other Zoho applications.
9. RightSignature: Part of Citrix, providing a secure and reliable eSignature solution.
10. Eversign: Offers a secure solution with features tailored to small businesses.

FAQ: common questions about electronic signatures in Portugal

Is an electronic signature legally binding in Portugal?

Yes, electronic signatures are legally binding in Portugal, provided they comply with the standards set by the eIDAS Regulation and Decree Law No. 12/2021.

What types of electronic signatures are recognised in Portugal?

Portugal recognises three types of electronic signatures: simple electronic signatures, advanced electronic signatures, and qualified electronic signatures. Qualified electronic signatures have the same legal effect as handwritten signatures.

What are the requirements for an electronic signature to be legally binding in Portugal?

For an electronic signature to be legally binding in Portugal, it must meet the requirements set out in the eIDAS Regulation and Decree Law No. 12/2021, such as uniquely identifying the signatory, being created using secure electronic signature creation data, and being linked to the data signed in a way that any subsequent changes are detectable.

In what circumstances would an electronic signature not be valid in Portugal?

Electronic signatures may not be valid in Portugal if they do not meet the necessary technical and security requirements, if they are not accompanied by the required supporting documentation or certificates, or if they are used for certain types of legal transactions that require a handwritten signature, such as the transfer of real estate or the drafting of a will.

How do I ensure my electronic signature is valid in Portugal?

To ensure validity, use an electronic signature that meets the criteria of the eIDAS Regulation, particularly for high-value or sensitive transactions.

Can electronic signatures be used in court cases in Portugal?

Yes, electronic signatures can be used as evidence in court, provided they meet the necessary legal requirements.

How widespread is the adoption of electronic signatures in Portugal?

The adoption of electronic signatures in Portugal has been steadily increasing in recent years, particularly due to the COVID-19 pandemic. However, the overall adoption rate varies across different sectors and industries, with certain industries, such as banking and finance, having a higher rate of adoption.

How can I choose the right electronic signature provider in Portugal?

Consider factors such as security features, ease of use, compliance with industry standards, integration capabilities, and customer support when choosing an electronic signature provider.

Who are the leading providers of electronic signature solutions in Portugal?

Leading providers of electronic signature solutions in Portugal include Juro, DocuSign, Adobe Sign, and HelloSign, among others. 

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Understanding the legal framework and requirements for electronic signatures in Portugal is essential for both businesses and individuals. With this knowledge, they can confidently adopt this technology, ensuring that their transactions are not only efficient but also legally valid and secure. This enables them to streamline processes, reduce reliance on paper, and enhance the overall security of their operations, whether in a business or personal context.

Juro is not a law firm and this article should not be relied on as legal advice.