Entrepreneurs use e-mail systems for many reasons, including their desire to improve customer responsiveness, the need to improve their employees` ability to provide improved customer service, and the need to maintain their operations at the cutting edge of technology. However, there are drawbacks to these programs, including the possibility that a customer`s live chat with an employee accidentally ties a business, resulting in unintended consequences. While restricting access to electronic communications with customers can keep you safe, limiting your employee`s autonomy creates extra work for you as a business owner, which is impractical for most small businesses. Alternatively, training your employees in these issues helps to understand that their emails, texts and e-mails sent on behalf of the company have the potential to establish binding contracts and inform them of your policies about what should or should not be included in their communications. The Massachusetts Land Court decided that the two documents in the TEXTnachricht and the LOI were sufficient to meet the written requirement of the Fraud Act. Unlike a digital signature that uses encryption to prohibit the publication of the document, an electronic signature is only a mark on the document that indicates the intention of a party to execute the agreement. This means that in most contracts created under California law, if there was a meeting of minds on the treaty and a party wrote its name to the agreement it intended to sign, they would probably be bound by the treaty. California Law: Statute of Frauds and Electronic Signatures Modern Fraud Act is generally a statutory provision that requires certain types of contracts to be recalled in writing and to meet other requirements that go beyond the basic contract requirements. In California, the Fraud Act includes contracts such as purchase or transfer contracts for real estate, leases longer than one year, larger commercial credits, and any contract that explicitly takes more than a year. It`s a good idea to make sure that you`ve articulated it clearly in a written document and that you keep it handy and that you`ve filed it as needed, because text messages don`t work as proof of your agreement.