Legislation that could make it easier for electronic marketers to do business by giving electronic signatures the same legal status as written ones could become law within a month.
Late last week, after months of negotiations, House and Senate conferees reached final agreement on the measure, which the House passed in November and the Senate rejected in March, hoping to pass its own version of the bill.
Direct Marketing Association senior vice president Richard A. Barton, said the DMA supported the legislation since its introduction last year because “it will make it easier and safer for consumers to make purchases from catalogers and other direct marketers over the Internet
The agreement gives regulatory agencies, such as the Federal Trade Commission, Federal Reserve Board, and the Federal Communications Commission, until next March 1 to develop and adopt implementing rules and regulations.
Although both chambers are expected to ratify the compromise bill, endorsed by the White House, some lawmakers– notably Senate Banking Committee Chairman Phil Gramm (R-TX), and Senators Kay Bailey Hutchinson (R-TX), Strom Thurmond (R-SC), and Robert Bennett (R-UT) — reportedly are concerned that it does not appease financial services companies and may try to stop its passage.
In addition to legalizing electronic signatures in commerce, both nationally and internationally, the legislation would require companies to obtain consumer agreements in writing before accepting an electronic signature, and permit e-commerce companies to compile and maintain files relating to a consumer’s use of an electronic signature.
The legislation would also prohibit states from adopting more restrictive laws rules or regulations regarding electronic signatures.
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