Regulate Signature Invoice For Free

The CGST Rules require all invoices (including credit notes/debit notes) to be physically signed by an authorised representative of the entity issuing the invoice.

Is an invoice a legal document? In and of itself, an invoice is not a legally binding agreement. If an invoice on its own was a legally binding document, then vendors could create bogus invoices and then force their clients to pay them. If both sides do not agree to the invoice, then it is not legally binding.

Invoices outline the details of what someone owes you, usually goods and services. However, an invoice is generally considered a one-sided agreement until the client has signed it. Once you've collected a legally-binding signature, your invoice can technically be considered a contract.

Invoices and contracts are integral elements of any business so it's essential to understand the difference between the two. An invoice doesn't qualify as a contract, nor does a contract serve as an invoice.

Both parties should sign the document (or alternatively, neither should sign). By having each party sign an invoice or sales receipt, the document is formalized. Just remember, the signatures don't necessarily make the transaction any more legally-binding than the invoice itself.

To validate the digital signature: Open the invoice PDF document in Adobe Acrobat Reader, and look at the notification bar at the top of the document window. If you see a green tick, the signatures have been validated.

An invoice is not a legal document on its own. While invoicing is an important accounting practice for businesses, invoices do not serve as a legally binding agreement between the business and its client. That's because an invoice leaves too much room for manipulation to serve as a legal document.

Invoice fraud occurs when someone purposely invoices for more than the correct amount, causing companies to overpay or even pay someone who never offered them goods or services in the first place.