On 13 May 1998, the European Commission adopted a proposal for a directive aimed at establishing a legal framework for electronic signatures in Europe. It would lay down rules concerning security and liability, thus ensuring that electronic signatures are legally recognised throughout the European Union (EU).

The setting up of an EU framework for secure on-line transactions aims to stimulate investment in electronic commerce, thus leading to benefits in terms of growth, competitiveness and jobs. Since most EU Member States have not yet adopted electronic signature laws, the move would ensure a harmonious environment from the outset.

Electronic signatures are a cryptographic technology that allow the recipient of data sent over electronic networks such as the Internet to determine the origin of the data (authentication) and to verify whether the data has been tampered with (integrity). The data is accompanied by a certificate issued by a certification service provider which allows the recipient to check the identity of the sender.

The draft directive is technology-neutral, thus taking into account the rapid pace of technological change. Its scope is limited to the supply of certificates to the public aimed at identifying the sender of a message, and does not apply to closed user groups such as corporate Intranets or banking systems, where a trust relation already exists.

The proposed Directive, to come into force by 1 January 2001, comes as a follow up to the Commission's Communication on digital signatures and encryption of October 1997.

http://www.ispo.cec.be/eif/policy/com98297.html/

(Source: ISTrends)