President Clinton signing the E-SIGN Act into law last year may not rank up there with John Hancock signing the Declaration of Independence (or Alex Rodriguez signing a $250 million contract with the Texas Rangers), but for those working in the field of electronic signatures-and those waiting for electronic commerce to fulfill its potential-it was a very big moment. A sign of the times, if you will.

The Electronic Signatures in Global and National Commerce Act hasn't changed the way business is conducted, but it kicked open a door to the future: one in which the world of paper signatures could be crumpled up and thrown into the waste can. E-SIGN simply removed state governments from the tangle of laws that governed the use of electronic signatures in this country; it removed impediments that made public-key infrastructure (PKI) technology king in one state, while others preferred electronic facsimiles. Most importantly, it created legal recognition for electronic signatures in interstate and international commerce.

The legislation is making technology companies working in the electronic signature field much busier than they have ever been. The growth of electronic signatures, particularly for B2B transactions, is growing steadily, while the future of e-signatures in B2C is still being debated.

Mo Is on Their Side

"The E-SIGN Act added the kind of momentum that can't be bought," said Tony Vank, president of Topaz Systems, developer of electronic pens and tablets. "It increased the rate of companies adopting electronic signatures. It had an immediate impact to double or triple the amount of business, and I think the growth will continue unabated."