Want to stop chasing down signatures and start sending contracts that actually get signed? This guide shows you how to set up legally binding eSignatures in Pandadoc, step by step. If you’re a business owner, freelancer, or anyone else tired of paperwork purgatory, you’re in the right place. No fluff, just what you need to know to get your contracts signed—and have those signatures actually hold up.
Quick Reality Check: What Makes an eSignature “Legally Binding”?
Before you start uploading contracts, let’s be clear: not every typed name or digital scribble counts as a legal signature. For an eSignature to stand up in court (in most countries), you need:
- Intent: The signer meant to sign.
- Consent: Both sides agree to use electronic signatures.
- Record: There’s a solid audit trail—who signed, when, and from where.
- Integrity: The document hasn’t been messed with after signing.
Pandadoc is set up to check these boxes, but you’ll still want to use it right. Don’t assume the tool does everything for you—there’s a little user responsibility here.
Step 1: Make Sure You’re on the Right Pandadoc Plan
Not all Pandadoc accounts are created equal. The ability to collect legally binding eSignatures is available on all paid plans, but most free accounts are just for testing—not for real business contracts.
What you need: - At least a paid “Essentials” plan. - If you need more advanced security (think: HIPAA, SOC 2), you’ll want “Business” or higher.
Pro Tip: If you’re handling especially sensitive or high-value contracts, check with your legal team before sending anything. No SaaS tool is a replacement for actual legal advice.
Step 2: Prepare Your Document the Right Way
Now, upload your contract (PDF, Word, whatever) or build it from scratch in Pandadoc. But don’t just slap on signature fields and call it a day.
Checklist: - Clear language: Make sure the contract spells out what both parties are agreeing to. Vague terms make things messy. - Signature blocks: Add fields for each signer—full name, signature, date. - Initials (optional): For longer contracts, initials on key pages can help (and look professional).
What to ignore: Don’t get lost in Pandadoc’s templates unless one actually fits your needs. Fancy graphics or too many “required” fields often just slow everyone down.
Step 3: Add Signature Fields (and Make Them Required)
Drag and drop the “Signature” field onto the spot where you want each party to sign. Pandadoc lets you assign each field to a specific recipient.
- Required fields: Make signature and date fields required. If it’s optional, someone will skip it—guaranteed.
- Multiple signers: Add separate signature fields for each person. Assign each one to their specific email address.
- Other fields: You might want to add “Name” or “Title” fields if you need them filled out.
Heads up: Don’t use just “text” fields for signatures—only the actual “Signature” field creates a valid eSignature record.
Step 4: Set Up Recipients and Signing Order
Pandadoc lets you control who signs first and in what order. This is useful if, for example, your contract needs to be signed by your client before you countersign.
- Add each recipient’s name and email.
- Set signing order: If order matters, turn on “Signing Order” and drag people into the right sequence.
- Double-check emails: Typos here kill the process. No one wants to resend contracts.
Pro Tip: If you’re working with a company, make sure you’re sending to someone with authority to sign. “I’ll pass this along to legal” is code for “This will be lost for weeks.”
Step 5: Configure Audit Trail and Identity Verification
One big reason eSignatures are legally binding is the audit trail. Pandadoc automatically logs:
- Who signed
- When they signed (timestamp)
- IP address/location info
- Document changes
Extra verification: For high-stakes contracts, you can require signers to enter a one-time password (OTP) sent to their email or phone. This isn’t always necessary, but it’s good for peace of mind.
What not to worry about: Don’t overcomplicate it unless you need to. Most business contracts don’t require notarization or biometric verification.
Step 6: Send the Contract and Track Progress
Once everything’s set, hit “Send.” Pandadoc emails each recipient a unique, secure link. You can watch the contract status—Viewed, Completed, etc.—from your dashboard.
- Reminders: Pandadoc will automatically remind people to sign. You can nudge them manually, too.
- Activity feed: See who opened, viewed, and signed (or who’s stalling).
Common hiccups: - Email goes to spam—ask recipients to check junk folders. - They can’t open the link—firewalls or strict company IT policies sometimes get in the way. In these cases, send a PDF copy as a backup, but know that only the online version is tracked.
Step 7: Download and Store the Signed Contract
When everyone’s signed, Pandadoc finalizes the document and adds a certificate of completion (the audit trail) to the end. You’ll get notified, and you can download the whole package as a PDF.
- Store it somewhere safe: Use your company’s shared drive, contract management tool, or at least a secure folder.
- Don’t rely only on Pandadoc: Keep a backup. SaaS tools go down, companies get acquired, and sometimes things get lost.
Are Pandadoc eSignatures “Legal Enough” for Everything?
Short answer: In most countries (including the US, EU, UK, Canada, and Australia), yes—Pandadoc eSignatures are legally binding for most business contracts.
But… - Some documents can’t be eSigned: Wills, certain real estate deals, and some government documents still require wet ink. - International quirks: Every country has its own rules. If you’re dealing across borders, check local laws or ask a lawyer. - Don’t fake it: Never sign on someone else’s behalf unless you have power of attorney and can prove it.
Pro Tip: If someone questions your contract later, Pandadoc’s audit trail is your best friend. It’s much stronger evidence than just emailing around a PDF.
What Works, What Doesn’t, and What to Ignore
What works: - The signature process is quick and easy for most people. - The audit trail covers your legal bases for basic business contracts. - Built-in reminders help avoid those “sorry, I forgot to sign” excuses.
What doesn’t: - Pandadoc can feel bloated if you just need simple signatures, especially if you don’t use its other features. - Not everyone likes being forced to create a Pandadoc account—though most signers can sign as a guest.
Ignore these: - Over-customizing your contract with too many fields. It slows things down. - Worrying about “blockchain signatures” or other buzzwords—these add complexity with little legal benefit right now. - Assuming Pandadoc will catch every legal issue. It’s a tool, not a lawyer.
Final Thoughts: Keep It Simple, Stay Organized
Setting up legally binding eSignatures in Pandadoc isn’t rocket science. Focus on the basics: a clear contract, required signature fields, and a solid audit trail. Don’t get lost in features you don’t need—get your contract signed, store it safely, and move on. If you hit a snag, tweak your process. The goal’s not perfection—it’s getting deals done without the paperwork headache.