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Are DSCs valid for signing a partnership deed?

781 views 1 replies

Rajat

Student

52 Points Posted on 21 March 2021

One of our client wants to resign from the partnership but is not available in the home city for a long time. He wants to sign the resignation through his DSC (class 2) instead of physically signing it.

1. Is it possible to sign a resignation with his DSC?

2. If required, can a dissolution agreement be signed between both the partners with their DSCs?

3. Can such a clause be added to the dissolution agreement where it is enforced that none of the parties will be allowed to re-constitute the partnership?

Replies (1)

Aashok Kumar Sharma

Finance/Compliance Consultant

68739 Points Posted on 14 August 2025

Hey Rajat, here’s the scoop on your queries about using DSCs (Digital Signature Certificates) for partnership deeds:

Signing resignation with DSC:
Yes, a partner can sign a resignation letter using their DSC, provided the document is in a digital format and the DSC is valid (Class 2 DSC is acceptable for most personal documents). DSCs have legal validity under the IT Act, so the resignation digitally signed should be valid.
Dissolution agreement with DSCs:
Yes, a dissolution agreement can be signed digitally by all partners using their DSCs. This is increasingly common and legally recognized as long as all parties agree and the signatures are valid.
Clause preventing reconstitution:
Absolutely, you can include a clause in the dissolution agreement stating that neither party can reconstitute the partnership. Such clauses are generally enforceable as part of contract law, provided they are clear and agreed upon.