October 18, 2011
The California Association of Realtors Standard Forms Committee has voted to release a new electronic signature verification form (OVAS) in November. The full title of the form is “Optional Verification of Electronic Signature for Third Parties.” While this form will affect numerous escrows, CAR did not vet this form with the CLTA before finalizing it for use.
The new form seeks to address concerns that an electronic signature may not have been made or authorized by the buyer/seller in the real estate transaction. The form provides an acknowledgement to escrow/lender/other entities that the buyer/seller has indeed used an electronic signature on the document.
The form is designed to be executed by the principals to the transaction. It is addressed to the escrow and/or lender. It simply states that the person executing the form has used electronic signature technology in order to sign and initial documents in the transaction and verifies that those documents containing an electronic signature or initial from the signing principal were in fact executed by the principal.
The form itself is signed with an actual signature and is not signed electronically.