With an increasing number of financial markets contracts being confirmed electronically, the International Swaps and Derivatives Association (ISDA) and Aosphere have launched a new service that will enable users to quickly and efficiently assess issues relating to the enforceability of electronically executed and confirmed contracts.
The tool, called Diligence – ISDA e-Contracts, covers ISDA’s e-contract opinions and allows ISDA members to view factors relating to the use of electronic contracts, e-signatures and click-through agreements in a colour-coded Web format, including enforceability and admissibility of electronic records in court proceedings. The tool is hosted on the Aosphere platform, which also hosts other services that analyse ISDA opinions including Netalytics and CSAnalytics.
“The launch of the service reflects the increasing number of derivatives, securities financing and repo transactions that are being executed and confirmed electronically,” ISDA says. “The coronavirus pandemic has further heightened interest in e-contracts, with the closure of offices and the introduction of remote working highlighting challenges and inefficiencies associated with the physical delivery of signed paper documents and notices.”
In response to this, ISDA says it has expanded the scope and jurisdictional coverage of its e-contract opinions, with 37 jurisdictions currently covered, with a further 10 to be commissioned this year.