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Digital agreements are contracts or understandings that are created, signed, and managed electronically, often without the need for any paper documents. These can range from simple click-through licenses that we encounter when installing new software, to more complex contractual agreements in business-to-business or business-to-consumer interactions. With the advent of encryption technologies and electronic signatures, digital agreements have gained legal recognition and enforceability, making them as valid as traditional paper-based contracts in many jurisdictions. Digital agreements offer several advantages including speed, convenience, and reduced costs, as they can be created and executed without the need for physical presence, printing, or manual distribution. Additionally, technologies such as smart contracts on blockchain platforms are further automating and securing digital agreements, ensuring that predefined conditions are met before the terms of the agreement are executed. However, issues around security, compliance, and jurisdictional differences can be challenges that organizations must address when adopting digital agreements.
Published: July 12, 2021, 2:50 p.m.
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Published: Sept. 16, 2021, 12:06 p.m.
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