Is an electronic signature valid?

Yes—under the federal ESIGN Act (15 U.S.C. ch. 96) and UETA in most states, electronic signatures are legally enforceable if the parties demonstrate intent, consent, attribution, and record retention.

Who can sign for a business?

An authorized officer, agent with written delegation, or an individual listed in corporate resolutions may sign. Confirm internal authority or a power of attorney before accepting the signature.

Is notarization required?

Not usually for contract amendments. Notarization or witnesses are required only where state law or the original agreement specifies it; check jurisdictional rules when in doubt.

Can I revoke an amendment?

Revocation depends on the amendment’s language and mutual consent. If parties agree, execute a second amendment or rescission document documenting the revocation in writing.

What if names or dates are wrong?

Correct obvious clerical errors with a corrective amendment or addendum signed by all parties; do not rely on informal emails to fix substantive discrepancies.

How should executed copies be stored?

Store executed originals in a secure contract repository with an audit trail and backups. Maintain retention in line with IRS rules, HIPAA, and company policy for access and preservation.

Electronic Signature
Templates
Miscellaneous
Business Change of Terms Document

Business Change of Terms Document

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Business Change of Terms Document

Parties

Company Name Company Address Counterparty Name Counterparty Address

Recitals

WHEREAS, Company Name: and Counterparty Name: previously entered into a written agreement dated (the "Existing Agreement").

WHEREAS, the parties desire to amend certain terms of the Existing Agreement and document those changes as set forth in this Business Change of Terms Document, such changes to become effective on the Effective Date specified below.

WHEREAS, this Change of Terms Document sets forth the mutual agreement of the parties concerning the specific modifications to the Existing Agreement.

Effective Date

Effective Date:

Scope of Changes

Describe the changes to the Existing Agreement

Payment Terms

New Payment Amount: per .

Payment Schedule

Late Payment Fee: . All late fees accrue from the first day following the payment due date and are calculated on the outstanding balance.

Term and Termination

Term Start Date: . Term End Date: .

Either party may terminate this Agreement as amended by providing written notice to the other party at least days prior to the intended termination date. Termination for material breach shall be effective if the breaching party fails to cure the breach within days after receipt of written notice specifying the breach.

Confidentiality

Each party shall maintain the confidentiality of Confidential Information disclosed in connection with the Existing Agreement and this Change of Terms Document. Confidential Information means non-public information designated as confidential or that reasonably should be understood to be confidential given the nature of the information and the circumstances of disclosure. The receiving party shall not disclose or use Confidential Information except as necessary to perform its obligations under the Existing Agreement for a period of years following the Effective Date, unless a longer period is required by law.

Governing Law

This Change of Terms Document and the rights of the parties hereunder shall be governed by and construed in accordance with the laws of the State of , without regard to principles of conflicts of law that would require application of the law of another jurisdiction.

Entire Agreement and Amendment

Except as expressly modified by this Change of Terms Document, all terms, conditions, representations, and warranties of the Existing Agreement remain in full force and effect. This Change of Terms Document constitutes the entire understanding between the parties with respect to the subject matter hereof and supersedes all prior and contemporaneous agreements and understandings, whether written or oral. No amendment to this Change of Terms Document shall be effective unless in writing and signed by authorized representatives of both parties.

Representations and Authority

Each party represents and warrants that it has full power and authority to enter into and perform this Change of Terms Document and that the individual signing below on its behalf has been duly authorized to bind the party to the terms and conditions herein.

Company

Printed Name:

By:

Date:

Counterparty

Printed Name:

By:

Date:

What the Business Change of Terms Document Is

A Business Change of Terms Document is a formal amendment used to modify specific provisions of an existing commercial agreement, such as payment terms, service levels, or delivery schedules. It records the parties’ mutual consent to alter obligations without replacing the underlying contract. The document identifies the original agreement, lists each revised clause in plain language, specifies an effective date, and requires authorized signatures from all contracting parties to become binding.

Why Use a Formal Change of Terms Document

Using a written amendment creates a clear, enforceable record of changes, reduces disputes about intent, and preserves the original contract while updating specific obligations under agreed terms.

Who Typically Prepares and Signs These Amendments

Parties should confirm signatory authority and any industry-specific approval steps before finalizing and distributing the document.

Real Estate and Property Managers adapting lease payment or maintenance terms.
Healthcare and Providers updating service agreements with HIPAA addenda.
Finance and Banking teams revising payment schedules or collateral terms.

Core Components of a Professional Change of Terms Document

A concise, well-structured amendment improves enforceability and speeds approval. Include clear cross-references to the original agreement and explicit statements of which provisions are replaced or added.

Reference

Identify the original agreement by title, date, and parties to ensure the amendment attaches to the correct contract and avoids ambiguity.

Scope

Specify which sections, clauses, or exhibits are changed and show prior language versus new language or simply state the new text to be adopted.

Effective Date

State the exact date when the amended terms begin to apply, using a clear MM/DD/YYYY format to prevent disputes over timing.

Consideration

If new consideration is required, describe amounts, payment schedules, or other valuable exchanges that support enforceability under contract law.

Authority

Include a signatory block confirming each signer has authority to bind their organization and, where applicable, list job title or role.

Integration

Confirm that aside from the amended provisions, the original agreement remains in full force and effect to preserve the contractual framework.

Step-by-Step: Preparing and Executing the Amendment

Follow these practical steps to ensure the amendment is clear, authorized, and enforceable.

01

Review Original: Confirm the exact agreement, section numbers, and any change restrictions.
02

Draft Changes: Draft replacement clauses clearly, using plain language and cross-references.
03

Obtain Authority: Confirm signers have corporate or delegated authority to execute the amendment.
04

Execute and Distribute: Collect signatures, date the document, and provide executed copies to all parties.

Where to File or Send the Executed Document

After signing, distribute copies to stakeholders and file an executed copy in central contract storage for audit and compliance.

Internal Contract Repository: Store in your company’s contract management system for version control.
Finance and Accounts: Send finalized terms to accounts payable or receivable for billing updates.
Legal Department: Retain an executed copy with legal counsel for enforcement and future negotiation.
External Counterparty: Provide a fully executed copy to the other party as proof of amendment.

Configuring a Digital Workflow for Amendments

Set up a repeatable routing workflow to collect signatures, approvals, and post-execution distribution automatically.

Field	Configuration
Signing Order	Sequential routing to approvers, then signers, to ensure controlled execution.
Authentication	Use email plus optional SMS code or KBA for higher-assurance signers.
Attachments	Include the original agreement or relevant exhibits in the same envelope.
Notifications	Enable automated reminders and a completion certificate for audit logs.

Technical and Platform Considerations for eSigning

Confirm the provider’s audit trail, encryption, and retention features meet your legal and internal compliance requirements before e-submitting.

File Formats: PDF, DOCX, and HTML supported for editing and signing
Integrations: Salesforce, NetSuite, Google Workspace, Microsoft 365 compatibility
Authentication: Email, SMS code, and advanced SSO options available

Timing, Deadlines, and Retention-Related Dates to Watch

Be mindful of notice windows, effective dates, and statutory recordkeeping obligations when you change contract terms.

Effective Date Entry:

Enter exact MM/DD/YYYY; this determines when obligations start applying.

Notice Periods:

Follow any contract-specified notice windows, often 30–90 days for material changes.

W-9 Requests:

Provide an updated W-9 upon payer request; no fixed federal deadline.

I-9 Retention:

Keep employment verification per 8 CFR §274a.2 retention rules when terms affect employment.

IRS Recordkeeping:

Retain relevant financial records at least 3 years per IRC §6501(a).

Key Milestones from Drafting to Archived Record

Track these sequential milestones to move an amendment from draft to enforceable record and archived file.

01

Draft Completion

Finalize amendment text and attach relevant exhibits or prior clauses.

02

Internal Approval

Obtain required managerial and legal approvals before circulation.

03

Execution

Collect authorized signatures and record execution dates.

04

Distribution & Filing

Send executed copies to parties and file in contract repository.

Common Preparation Errors to Avoid

Failing to reference the exact original agreement, causing ambiguity about which contract is amended.
Using vague language like 'modify as necessary' instead of specific clause text, which invites disputes.
Mismatched signer names or titles that leave authority in question and risk unenforceability.
Neglecting required approvals or delegated authority, which can render the amendment voidable.

Legal and Financial Risks of Incorrect Amendments

1099 Penalties: $60–$330 per form for late or incorrect filings under IRC §6721

Intentional Disregard: $660+ per form with no maximum under IRC §6721

Backup Withholding: 24% withholding may apply if TIN is missing or incorrect

I-9 Violations: $281–$2,789 per violation for paperwork errors

Contract Liability: Incorrect drafting can create breach or indemnity exposure

Compliance Breach: HIPAA or industry violations may trigger fines and corrective actions

Security and Compliance Features to Require

Transport Encryption: TLS 1.2/1.3

Data at Rest: AES-256 encryption

Audit Trail: Detailed signing history and timestamps

HIPAA Support: BAA available for protected health information

21 CFR Part 11: Controls for FDA-regulated records

ESIGN / UETA: Legal framework compliance

eSignature Pricing and Capability Comparison

Basic pricing and common capability differences among major eSignature vendors. signNow is listed first for direct comparison; check vendor plans for full feature details.

	signNow	DocuSign	Adobe Sign	PandaDoc	HelloSign
Starting Price	$8/user/mo	$15/user/mo	$14/user/mo	$19/user/mo	$15/user/mo
Free Trial	7-day free trial	Varies by vendor	Varies by vendor	Varies by vendor	Varies by vendor
Bulk Send	Yes	Yes	Yes	Yes	No
Audit Trail	Yes	Yes	Yes	Yes	Yes
HIPAA Compliant	Yes	Yes	Yes	No	No
Envelope Cap	No cap	100 envelopes/user/year	Varies by plan	Varies by plan	Varies by plan

Frequently Asked Questions About Change of Terms Documents

Answers to common questions about validity, signing authority, notarization, eSignatures, and revocation procedures for amendments.

Need help? Contact support

Is an electronic signature valid?
Yes—under the federal ESIGN Act (15 U.S.C. ch. 96) and UETA in most states, electronic signatures are legally enforceable if the parties demonstrate intent, consent, attribution, and record retention.
Who can sign for a business?
An authorized officer, agent with written delegation, or an individual listed in corporate resolutions may sign. Confirm internal authority or a power of attorney before accepting the signature.
Is notarization required?
Not usually for contract amendments. Notarization or witnesses are required only where state law or the original agreement specifies it; check jurisdictional rules when in doubt.
Can I revoke an amendment?
Revocation depends on the amendment’s language and mutual consent. If parties agree, execute a second amendment or rescission document documenting the revocation in writing.
What if names or dates are wrong?
Correct obvious clerical errors with a corrective amendment or addendum signed by all parties; do not rely on informal emails to fix substantive discrepancies.
How should executed copies be stored?
Store executed originals in a secure contract repository with an audit trail and backups. Maintain retention in line with IRS rules, HIPAA, and company policy for access and preservation.

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