Digital Signatures in Electronic Conveyancing

Electronic Conveyancing in NSW

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The information in this newsletter is correct at time of publication but may change as the project develops. It reflects current thinking to generate discussion and feedback and is not a substitute for publication of Circulars announcing policy changes.

Digital Signatures in Electronic Conveyancing

Digital signature certificates are an essential requirement of electronic conveyancing. They replace manual signatures used on paper instruments to identify the person taking responsibility for the correctness of the information contained in an electronic instrument.

What are digital signatures?

A digital signature certificate is an electronic fingerprint that identifies the person to whom it was issued. It is an electronic record that identifies the person by name and other details as well as the organisation vouching for the person’s identity. When applied to an electronic instrument, the signature certificate tells the Land Registry who certified and signed the instrument.

Why are they necessary?

Digital signatures are necessary in electronic conveyancing to replace the traditional manual signatures on paper instruments identifying the person taking responsibility for the correctness of the instrument’s information. They allow the authenticity of the signature to be independently verified electronically as valid and belonging to the person named by it, and therefore for the entire instrument to be examined electronically.

How do you get one?

Digital signature certificates are purchased from private sector suppliers. To get one it is necessary first to have your identity independently verified in a similar manner to that necessary before opening a new bank account. After satisfying the identity verification requirement and paying the required fee, the signature certificate is delivered over the Internet or by mail. Signature certificates generally need to be renewed every two years.

Who can issue one?

Digital signature certificates suitable for electronic conveyancing can only be issued by a supplier accredited under the Commonwealth Government’s Gatekeeper program. This ensures the supplier’s security arrangements and procedures are sound and reliable. Details of the Gatekeeper program are available at http://www.agimo.gov.au/infrastructure/gatekeeper.

What do they cost?

Digital signature certificates from a Gatekeeper-accredited supplier cost between $100 and $200 each for a two-year validity period depending upon the type of certificate required. Current GST-inclusive pricing from one supplier is available at

http://www.verisign.com.au/gatekeeper/pricing.shtml

How will they be used?

Digital signature certificates will be used in signing instruments, information reports and settlement statements in NECS. When the instrument, report or statement has been certified by confirming each of the required certifications presented by the system, the signing procedure will be made available. To sign, a person registered with NECS as a Certifier must enter their digital signature certificate password (different from their NECS user-id password and not known to NECS). When the password is verified correct, the NECS system verifies the signature certificate with the Gatekeeper-accredited supplier who issued it to ensure it is valid and unrevoked, then adds the certificate to the instrument, report or statement as the verified identity of the person who certified and signed it. The signature certificate then becomes and inseparable part of the instrument, report or statement. Any organisation, such as a Land Registry or Revenue Office, receiving a certified and signed instrument or report can independently verify the included signature certificate with the supplier who issued it.

What should be done to keep them secure?

Digital signature certificates can be stored on the fixed hard-drive of computers or on removable storage devices such as a smartcard or USB memory stick. The person to whom the signature certificate is issued is responsible for its security. If a certificate stored on a shared computer is used by someone else to fraudulently certify and sign an instrument, report or statement, the responsibility for that certification and signing rests with the person to whom the certificate was issued.


For security reasons, storage of signature certificates on removable devices, such as a smartcard or USB memory stick, which can be kept under the responsible person’s control at all times is preferred and highly recommended. It is possible professional conduct regulations associated with electronic conveyancing may oblige legal practitioners and licensed conveyancers to store their signature certificates on such devices.