What is a wet signature? Use cases and alternatives

This guide explores what an wet ink signature is, when it's used, and whether there are better alternatives to physical signatures in 2024.

What is a wet signature?

Wet signature is the use of a physical signature, made by hand with a pen ("wet ink"), to bind the party signing to the terms of the document upon which they leave their signature.

Contracts usually require, or at least encourage, both parties (or all parties, if there are more than two) to sign the document before it becomes enforceable.

Note that a signature is not necessarily required in order for a contract to be concluded. However, using some type of signature is still seen as a crucial part of the process of concluding a contract.

What does 'wet sign' mean?

Until recently, securing a signature on a contract always meant physically dragging a pen across the page to leave a signature, then giving the same pieces of paper to the counterparty and having them do the same. This would be done with 'wet' ink, which is why we talk about a contract needing to be 'wet signed'.

How popular are wet ink signatures today?

There was a time where wet ink signing was the default for businesses, and senior stakeholders would need to group in a meeting room to finalize the terms with a physical signature. 

That isn’t the case anymore.

Today there’s a faster and more efficient way to sign contracts. Instead of putting pen to paper and have an in-person meeting, businesses can sign contracts electronically instead. This alternative is called an electronic signature.

In other words, parties can use software to electronically ‘sign’ a document and fulfil the requirements needed to make it enforceable. And it seems this is becoming the new default, with global eSignature transactions ramping up from 89 million to 754 million in just five years.

But wet ink signatures do still have a place in the modern world. After all, a handwritten signature of some kind is still needed in various jurisdictions and situations. Let’s explore these scenarios now. 

When is a wet signature still required on a contract?

A wet signature, or a traditional handwritten signature, is still required on a contract in specific situations where legal, regulatory, or industry standards mandate its use. 

Here are some key instances when a wet signature may be necessary:

1. Notarized documents: Certain contracts, like real estate transactions, wills, or affidavits, often require notarization, which usually includes a wet signature witnessed by a notary public.
2. Government filings and legal documents: Some government agencies still require wet signatures on documents such as court filings, tax forms, and certain legal documents, particularly where state or federal law mandates it.
3. Power of attorney and estate planning documents: Documents that grant someone legal authority over another person’s financial or medical decisions often require a wet signature for validity and enforceability.

There are also instances where certain countries’ eSignature laws determine which documents can and can’t be signed electronically. Here are a few examples:

• Under Canadian law, promissory notes, personal guarantees, notarized mortgage documents, and security registered with the Bank of Canada will require wet ink signatures instead
• Under US law, promissory notes and notarized documents, mortgages, deeds of trust, and other collateral documents will have specific signing requirements
• Under English law, documents required to be filed with the UK tax authorities or Land Registry need to have a physical signature instead
• Under German law, a transfer or pledge of shares in a GmbH; a transfer of real estate; or a mortgage/land charge over real estate would need to be notarised

What’s wrong with wet signatures?

There are good reasons why eSignature has become so prevalent in contract process, both for individuals and businesses. There’s obvious friction and delay involved in the requirement to physically transfer one bundle of paper to another party - the time savings of sending documents electronically are transformative.

There’s also less risk involved - a physical document is more vulnerable to being lost, stolen or damaged than a contract electronically and securely stored in the cloud. If the document was created in an electronic format, there’s no need to scan and save its physical impression in order to be able to store it digitally.

The friction and delay involved in a wet signature-based process also gets significantly worse with scale. Some of the companies we work with at Juro process hundreds or even thousands of contracts a month.

For one customer, before automating routine contract workflow with Juro, this meant the CEO spending half a day a week sitting and physically signing hard-copy contracts by hand.

‍

This is a poor use of anyone’s time, but particularly the kind of person likely to be a business’ authorized signatory - typically a CEO, CFO or similar senior figure.

Through Juro’s end-to-end contract automation solution, they were able to ditch the wet signature and sign dozens or hundreds of contracts electronically, simultaneously, with one click. If you're looking to do the same thing, hit the button below. If not, read on to find out more about wet ink signatures.

What's the difference between wet signature and eSignature?

The main difference between a wet signature and an eSignature is that a wet ink signature involves an individual writing their signature onto a physical copy of a contract, typically in black pen. Meanwhile, an electronic signature is created digitally on a device, without the need for pen and paper. Here's a more detailed breakdown of the key distinctions:

Looking for a faster, more efficient way to agree contracts?

This is where Juro comes in. Juro is more than just an eSignature tool—it's an AI-native contract management platform designed to accelerate the entire contract lifecycle. With Juro, you can create, negotiate, and manage contracts end-to-end in one browser-native workspace. No more juggling between email, PDFs, and paper documents.

Juro’s platform not only provides secure, legally binding eSignatures, but it also offers collaborative workflows, seamless integrations with the tools your teams already use, and a dynamic contract repository for unmatched visibility and control over your agreements. 

By choosing Juro, your business can eliminate the inefficiencies of wet ink signatures and embrace a smarter, faster, and more integrated approach to contract management.

{{luke-gopuff-two-weeks}}

In today’s market, staying ahead means embracing tools that save time, reduce costs, and mitigate risks. 

Juro empowers modern businesses to agree and manage contracts faster, in one AI-native workspace. If you want to streamline your contract processes with a platform powering 2 million+ contracts globally, book a personalized demo today.

Frequently asked questions

What is the difference between a wet and dry signature?

The difference between a wet and dry signature is that a wet signature is usually created on paper and using ink or pens. By comparison, dry signatures don't use ink and include signing methods like electronic signatures.

Does a contract need to be signed in wet ink?

No. In many case, a contract can be signed electronically, rather than with a physical, wet ink signature.

How do I create a wet ink signature?

Wet ink signatures are typically created by writing your name, or signature on paper contract using a pen.

What is a live signature?

A live signature is a type of signature whereby the signatory has either inserted an image of their signature, used an eSignature tool, or has added a stamp of their signature into an electronic document.

Can a wet signature be scanned?

A wet signature can be scanned to digitize the document and store it securely online. This can be done by signing a physical contract using a pen and scanning the signed document. However, this still requires more manual work than just using an eSignature tool to sign agreements. To find out more, check out our instructions on how to scan a signature.

Is a wet ink signature the same as a handwritten signature?

A wet ink signature is the same as a handwritten signature. This is because handwritten signatures typically involve signing a physical document using a pen, which uses ink.

What is the wet signature rule?

The wet signature rule simply means that more complex transactions in certain jurisdictions will need to be signed via pen and paper.