Chapter 718 Oregon Laws 1999

Session Law

AN ACT

HB 3041

Relating to electronic signatures; creating new provisions; and amending ORS 192.835, 192.845 and 709.335.

Be It Enacted by the People of the State of Oregon:

SECTION 1. ORS 192.835 is amended to read:

192.835. As used in ORS 192.825 to 192.855:

[(1) "Authentication authority" means a person offering digital signature authentication services.]

[(2)] (1) "Certificate" means a computer-based record that:

(a) Identifies the certification authority; [.]

(b) Identifies the subscriber; [.]

(d) Is digitally signed by the certification authority; and [.]

(e) Specifies its operational period.

[(3)] (2) "Certification authority" means a person who issues and authenticates a certificate.

[(4)] (3) "Digital signature" means a type of electronic signature that transforms a message using an asymmetric cryptosystem such that a person having the initial message and the signer's public key can accurately determine:

(a) Whether the transformation was created using the private key that corresponds to the signer's public key.

(b) Whether the initial message has been altered since the transformation was made. A "key pair" is a private key and its corresponding public key in an asymmetric cryptosystem, under which the public key verifies a digital signature the private key creates. An "asymmetric cryptosystem" is an algorithm or series of algorithms which provide a secure key pair.

[(5)] (4) "Electronic signature" means any letters, characters or symbols, manifested by electronic or similar means, executed or adopted by a party with an intent to authenticate a writing. A writing is electronically signed if an electronic signature is logically associated with such writing.

(5) "Repository" means a system for storing and retrieving certificates and information about certificates.

(6) "Writing" includes handwriting, printing, typewriting and all other methods and means of forming letters and characters upon paper, stone, wood or other materials. "Writing" also includes information that is created or stored in any electronic medium and is retrievable in perceivable form.

SECTION 2. ORS 192.845 is amended to read:

192.845. (1) The Director of the Department of Consumer and Business Services shall have the authority to issue certificates for the purpose of verifying digital signatures.

(2) The Director of the Department of Consumer and Business Services may register [authentication] certification authorities for the purpose of ensuring the integrity of digital signatures. Before registering [an authentication] a certification authority, the director shall confirm that the [authentication] certification authority has been independently audited to ensure the integrity of the authority's digital signatures.

(3) The Director of the Department of Consumer and Business Services shall have the authority to take actions as necessary to achieve the purposes of ORS 192.825 to 192.855, including the suspension or revocation of certificates or registrations issued by the director. The director may impose a reasonable fee to cover the expenses associated with administering this section and shall adopt rules necessary to implement this section. Nothing in this section shall be construed to compel any public or private entity to participate in the director's certification program, as authorized in this section, in order to verify digital signatures. Nothing in this section shall be construed to compel any public or private entity to participate in the director's program of registering [authentication] certification authorities and any corresponding repositories.

SECTION 3. ORS 709.335 is amended to read:

709.335. As provided in ORS 192.825 to 192.855, a trust company may conduct transactions using electronic and digital signatures, may be [an authentication] a certification authority and may issue certificates for the purpose of verifying digital signatures.

SECTION 4. Section 5 of this 1999 Act is added to and made a part of ORS 194.505 to 194.595.

SECTION 5. (1) As used in this section, "electronic signature" has the meaning given that term in ORS 192.835.

(2) Notwithstanding any provision of ORS 194.005 to 194.200 or 194.505 to 194.595:

(a) A person may use an electronic signature in the manner prescribed by the Secretary of State by rule whenever the signature of the person is required on any electronic document presented for notarization;

(b) In performing any notarial act involving an electronic signature of a person described in paragraph (a) of this subsection, a notarial officer, in the manner prescribed by the Secretary of State by rule, shall accept the electronic signature of the person; and

(c) In addition to the requirements of ORS 194.505 to 194.595, the notarial certificate of an act signed with an electronic signature shall be attached electronically by the notarial officer in the manner prescribed by the Secretary of State by rule and shall contain the phrase "signed by electronic signature" or words to that effect.

(3) The Secretary of State shall adopt rules necessary to implement this section.

Approved by the Governor July 14, 1999

Filed in the office of Secretary of State July 15, 1999

Effective date October 23, 1999

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