1.  Which documents can use an electronic signature and take legal effect?
  2. Which documents cannot use electronic signatures and take legal effect and why?
  3. What are the legal requirements for electronic signatures on documents
  4. Are there any proposals to change the law relating to electronic signatures?
  5. Are there any other factors which prevent documents being entered into in electronic format?

jurisdiction

Finland

Generally, an electronic signature can be used for all commercial Real Estate documents (with a few exceptions based on mandatory laws). This includes:

  • Documents delivered to the authority (if the document includes sender information and there is no uncertainty about the originality or integrity of the document);
  • Easement agreements;
  • Commercial agreements;
  • Handover minutes;
  • Project agreements;
  • Non-disclosure agreements;
  • Powers of attorneys; and
  • Lease agreements (save for land lease agreements).

The following Real Estate documents cannot be signed using an electronic signature:

  • Property transfer deeds (sale and purchase, gifts and exchanges of real property);
  • Preliminary property transfer deeds; and
  • Land lease agreements.

However, property transfer deeds, preliminary property transfer deeds and land lease agreements may only be executed electronically in the Finnish Property Transaction Service (electronic trading system) maintained by the National Land Survey of Finland. Further, land lease agreements may only be signed in the electronic trading system if the entity acting as the landlord has made a certain agreement with the National Land Survey of Finland regarding the use of the electronic trading system. Additionally, land lease transfer agreements can be executed and mortgage matters can be handled (i.e. apply for mortgages and transfers of electronic mortgage deeds) in the electronic trading system. The use of the electronic trading system requires strong authentication (see answer number 3).

Property transfer deeds, preliminary property transfer deeds and land lease agreements may only be signed by an electronic signature in the electronic trading system referred to in answer number 1.

Strong authentication (i.e. verification of the identity of the signatory) is required in connection with signing of property transfer deeds and preliminary property transfer deeds. Strong authentication is regulated in the Finnish Act on Strong Electronic Identification and Electronic Trust Services (617/2009, as amended) implementing the Regulation EU No 910/2014 (“eIDAS”). In this process, the identity of the signatory is verified by means of one of the authorized methods, such as Finnish online banking credentials.

Otherwise, there are no other requirements for electronic signatures provided that such a document can be executed electronically.

4. Are there any proposals to change the law relating to electronic signatures?

No.

5. Are there any other factors which prevent documents being entered into in electronic format?

Possibly, the following issues could prevent a document being entered into in electronic format:

  • Where the contracting parties themselves have agreed on a stricter form than electronic form; or
  • If an apostille is required for the purposes of foreign public authorities, it may be better to have a physical signing.