A California legislator introduced a bill that, if adopted, will be a major update to the legislation in the field of electronic documents, as the law actually recognizes the mechanism of electronic signatures on the blockchain and smart contracts.
2658, a bill presented by Assembly member Ian Calderon last week, expands the definition of electronic documents and signatures contained in a Single law on electronic transaction, and includes in the law of information and signatures on the blockchain, namely:
A recording that was made using the technology of the blockchain is an electronic record.
The existing law “says that a record or signature may not be denied legal effect or enforceability solely because they exist in electronic form and that the contract may not be denied legal effect or enforcement solely because at its creation were used the electronic record”. In fact, the signature on the blockchain will become legally enforceable if the bill is passed by the legislature of California and signed by Governor Jerry brown.
The bill States that “the signature that is provided by blockchain technology is the electronic signature”, and also updates the notion of “contract”, namely recognizes that smart contracts and code snippets that are triggered under certain conditions (for example, when you reach a specific number block on the blockchain) are also forms of contract.
The bill also applies to data storage on the blockchain. It proposes that individuals who decided to use the blockchain to store personal information in the course of implementation of foreign economic activity, retain ownership of this information.
Last month, Florida lawmakers made a similar initiative, and lawmakers in Arizona adopted a similar bill last year.
The bill California is notable for the fact that the economy of this state is the largest in the United States, the GDP of this state equal to the GDP of France.