An insurance company cannot refuse to pay the fire loss of the buyer of a house on the grounds that the sales contract for the house was signed by electronic signature.

Question

Quizplus · Accepted Answer

As long as the electronic signature meets the legal requirements, it is considered valid and binding. The use of electronic signatures is recognized and regulated by the Electronic Signatures in Global and National Commerce Act (ESIGN) and the Uniform Electronic Transactions Act (UETA). Therefore, the insurance company cannot refuse to pay the fire loss based solely on the use of an electronic signature in the sales contract.

An Insurance Company Cannot Refuse to Pay the Fire Loss