Remote online notarization: The leap from paper to screen

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  Quantumrun Foresight
• June 19, 2024

Insight summary

The US led the way in allowing documents to be notarized online, making important paperwork easier and faster for everyone, everywhere. This digital shift involves confirming a person's identity online and combining old-school security with new technology to avoid fraud. As remote online notarization (RON) becomes more common in finance, real estate, and healthcare, it promises to reshape how businesses operate and how governments regulate documentation.

Remote online notarization context

Remote online notarization was pioneered by the US state of Virginia in 2011, enabling the notarization of documents online using audio-video technology. This innovation permits individuals, regardless of location, to have documents notarized electronically, ensuring the process's integrity with additional layers of technology and security. Following Virginia's lead, over 37 states have adopted RON, facilitated by Interstate Recognition, which validates notarial acts across state lines, provided they comply with the commissioning state's laws.

The process of RON involves a multi-step identity verification procedure that employs knowledge-based authentication (KBA), credential analysis, and notary validation to prevent fraud effectively. For instance, the Notarize platform requires signers to answer personalized questions, present a government-issued ID for analysis, and undergo a live verification session with a notary. This comprehensive approach ensures the signer's identity is securely confirmed, blending traditional notarial standards with modern technological safeguards. 

RON's adoption across various industries signifies its considerable impact on making notarization processes more efficient and accessible. The technology not only caters to the financial and legal sectors but also extends its benefits to real estate, healthcare, and government services. The digital approach to notarization offers unparalleled convenience, enabling businesses and individuals to execute and notarize documents without the logistical challenges of in-person meetings. Furthermore, platforms like Notarize and DocuSign have streamlined RON processes, providing secure and transparent solutions that enhance customer experience while ensuring compliance with state regulations. 

Disruptive impact

People living in remote areas or with mobility challenges stand to benefit significantly as they can now access notarial services without the need to travel. However, there's a learning curve associated with using new digital tools and platforms, which may be a barrier for those less comfortable with technology. Moreover, the risk of personal data exposure increases with the digital transmission of sensitive documents, requiring heightened awareness and preventive measures regarding online security.

Businesses may see a transformation in their operational strategies, with RON enabling more streamlined and efficient document-handling processes. Companies can execute agreements faster, improving turnaround times for deals and contracts, leading to better cash flow and customer satisfaction. On the downside, digital notarization requires businesses to invest in secure IT infrastructure and staff training, which could be a considerable expense, especially for small businesses. Additionally, there's the risk of exclusion for businesses in regions where RON is not legally recognized, potentially creating uneven playing fields.

Governments need to adapt their policies and regulations to accommodate and oversee the growth of RON, ensuring that it meets stringent security and verification standards. This trend allows governments to modernize public services, making them more accessible to citizens. However, substantial investment in cybersecurity is also required to protect against increased risks of fraud and hacking. Globally, governments may need to negotiate agreements to ensure the cross-border recognition of notarized documents, which could pose challenges given the varying legal standards and technological capabilities across countries.

Implications of remote online notarization

Wider implications of RON may include: 

• Increased digital literacy among older populations, as they adapt to using online notarization services.


• Expansion of legal and notarial services into underserved and rural areas, improving access to essential services.


• A rise in mobile and flexible work opportunities for notaries, leading to a more diverse workforce.


• Enhanced security measures for online transactions, fostering greater trust in digital services.


• Governments introducing regulations for digital identities, streamlining online verification processes.


• A reduction in paper usage, contributing to environmental conservation efforts.


• Increased cross-border transactions due to the international recognition of digitally notarized documents.


• New tech startups focusing on digital notarization and related services.


• Local economies benefiting from the efficiency of online transactions, leading to faster business cycles and economic growth.

Questions to consider

• How will remote online notarization change your approach to managing legal documents and personal affairs?


• How can individuals ensure their data remains secure when using digital notarization services?