Can I sign an NCR electronically?

Yes. Electronic signatures are generally enforceable under the federal ESIGN Act (15 U.S.C. ch. 96) and state UETA laws when the signature shows intent, consent, attribution, and retention. Verify any narrow exceptions before replacing required paper processes.

What makes an e-signed NCR legally valid?

A valid e-signature must meet the four‑prong test: intent to sign, consent to transact electronically, signatory attribution, and retention/reproducibility of the record. Consumer disclosures are required where ESIGN specifies consent procedures for consumer‑facing records.

When is notarization required for an NCR?

Notarization is rarely required for internal NCRs. If contract terms, regulatory filings, or court processes demand notarization or notarized affidavits, follow state notary rules and confirm whether Remote Online Notarization (RON) is accepted in that jurisdiction.

How long should I keep NCR records?

Retention varies: keep originals through closure plus at least three years for business records; financial records may follow IRC §6501 (3 years) or SEC rules (17 CFR §240.17a-4). Healthcare records with PHI follow 45 CFR §164.530(j) (six years).

Who must sign or approve an NCR to close it?

Signatories are set by company policy and may include quality managers, operations leads, and plant managers. Authorized approvers should be documented in workflow settings; signatures must be attributed to an identifiable individual or role.

How do I revoke or cancel an NCR?

Record the revocation or cancellation in an amendment or follow‑up NCR showing rationale, evidence, and approver signatures. Maintain the original record and a clear audit trail of why the entry was rescinded to preserve evidentiary integrity.

Business NCR Document

This template is fully customizable. Edit the text, fill out the fields, and send it for signature. Give it a try!

BUSINESS NCR DOCUMENT

This General Business Agreement ("Agreement") is entered into by and between: Client Name: and Contractor Name: . Effective Date:

WHEREAS

WHEREAS, Client Name: requires certain business services and procedures related to non-conformance reporting and corrective action; and

WHEREAS, Contractor Name: has the capability and agrees to provide the services and implement procedures described in this Agreement; and

WHEREAS, the parties desire to set forth the terms governing the scope of work, payment, non-conformance reporting (NCR) procedures, confidentiality, and other obligations herein.

PARTIES' CONTACT INFORMATION

Client Address Client Primary Contact Contractor Address Contractor Primary Contact

SCOPE OF WORK

Contractor shall perform the services and implement procedures described below. The scope shall include initiation, documentation, tracking, and closure of Non-Conformance Reports (NCRs) and associated corrective actions as further detailed in the procedural section.

Detailed Scope of Work

PAYMENT TERMS

Client shall pay Contractor the fees set forth below in consideration for the services rendered. Payments shall be made in accordance with the schedule and invoicing requirements described herein.

Total Contract Amount (USD) Payment Schedule / Milestones Late Payment Fee

TERM AND TERMINATION

The term of this Agreement shall commence on Start Date: and shall continue until End Date: , unless earlier terminated in accordance with this Section.

Either party may terminate this Agreement for convenience upon written notice to the other party not less than Notice Period (days): days. Either party may terminate for material breach if the breaching party fails to cure a breach within thirty (30) days of written notice specifying the breach.

NON-CONFORMANCE REPORTING (NCR) & CORRECTIVE ACTION

Contractor shall establish and maintain a Non-Conformance Reporting (NCR) procedure to identify, document, contain, and correct non-conforming products, services, or processes. Each NCR shall be assigned an NCR Number, Owner, priority, and a corrective action plan with target completion dates.

NCR Owner Description of NCR / Non-Conformance Corrective / Preventive Action Plan Corrective Action Target Completion Date

All NCR records, investigation results, root cause analyses, and closure evidence shall be retained for the period required by applicable contractual or regulatory obligations and made available to the Client upon reasonable request.

CONFIDENTIALITY

"Confidential Information" means all written, electronic, or oral information disclosed by one party to the other that is designated as confidential or that reasonably should be understood to be confidential given the nature of the information and the circumstances of disclosure. Confidential Information includes NCR reports, corrective action documentation, business processes, pricing, and technical data.

Receiving party shall (a) use Confidential Information only for performance of this Agreement, (b) restrict disclosure to employees or contractors with a need to know, and (c) protect Confidential Information with the same degree of care used to protect its own confidential information but not less than reasonable care. Confidentiality obligations survive termination for a period of three (3) years, except as to trade secrets which shall remain protected to the extent permitted by law.

REPRESENTATIONS, WARRANTIES, AND INDEMNIFICATION

Each party represents and warrants that it has the authority to enter into this Agreement. Contractor warrants that services will be performed in a professional and workmanlike manner consistent with industry standards. Contractor shall indemnify and hold harmless Client from claims arising out of Contractor's gross negligence or willful misconduct in performing services under this Agreement, subject to any limitations agreed by the parties in writing.

GOVERNING LAW

This Agreement shall be governed by and construed in accordance with the laws of the State of , without regard to its conflicts of law principles.

ENTIRE AGREEMENT

This Agreement, including any attached schedules or statements of work executed by the parties, constitutes the entire agreement between the parties with respect to the subject matter and supersedes all prior and contemporaneous agreements, understandings, and communications, whether written or oral. Any amendment must be in writing and signed by authorized representatives of both parties.

NOTICES

All notices required or permitted under this Agreement shall be in writing and delivered to the addresses set forth in the Parties' Contact Information section or to such other address as either party designates in writing. Notices are effective upon receipt.

Client Printed Name:

By:

Date:

Contractor Printed Name:

By:

Date:

What the Business NCR Document Is and When It’s Used

The Business NCR Document (Non‑Conformance Report) is a formal record used to document deviations from specifications, procedures, or regulatory requirements in a business setting. It captures the nonconforming item or process, immediate containment actions, root‑cause analysis, corrective and preventive actions (CAPA), affected parties, and verification steps for closure. Organizations use it to track incidents, assign responsibility, and create an auditable trail for internal review or external inspection. When executed electronically, the document should meet ESIGN/UETA standards for intent, attribution, consent, and durable record retention.

Why a Standardized NCR Document Matters

A Business NCR Document standardizes how nonconformances are recorded, prioritized, and resolved. It reduces rework, supports regulatory compliance, preserves an evidentiary audit trail, and clarifies accountability across teams. Proper documentation shortens corrective cycles and reduces repeat failures.

Who Completes and Acts on a Business NCR Document

Typical users who create or act on a Business NCR Document include these roles and teams.

Quality managers and auditors responsible for documenting nonconformance, tracking CAPA, and verifying closure.
Operations supervisors and line staff who identify defects, record evidence, and initiate containment actions.
Suppliers, vendors, and contract administrators when nonconforming materials or services affect deliveries.

These stakeholders rely on consistent NCRs to escalate issues, allocate resources, and meet audit expectations.

Typical Signers and Approvers

Quality Manager

Oversees NCR intake, assigns severity levels, initiates root‑cause investigations, and approves corrective actions. Ensures records meet internal procedures and external audit standards while maintaining traceability between incidents and CAPA outcomes for management and regulatory review.

Plant Manager

Responsible for operational containment, resourcing corrective repairs, and communicating impact to production schedules. Validates that corrective measures are implemented effectively on the shop floor and signs off on closure once verification criteria are met.

Core Sections Every Business NCR Document Should Include

Essential sections of a Business NCR Document ensure clarity, actionability, and auditability; each section supports investigation, decision‑making, and verification to reach formal closure.

Report Header

Unique report ID, creation date, location, and reporting department. Include affected product or process identifiers and a brief summary so reviewers can locate the record and cross‑reference related documents.

Non‑Conformance Details

Detailed description of the deviation: measurements, deviation from spec, batch or lot numbers, environmental conditions, and supporting photos or logs. Precise details reduce investigation time and dispute risk.

Immediate Action

Containment measures taken to limit impact, who performed them, timestamps, and temporary dispositions. State whether quarantined items remain in production or are isolated for inspection.

Root Cause Analysis

Document the analysis method used (5‑Why, fishbone), identified root causes, and evidence supporting conclusions; link to testing data or inspection reports where applicable.

Corrective Actions

Planned and completed corrective and preventive actions (CAPA), assigned owners, target completion dates, resources required, and criteria for success. Include metrics to measure effectiveness and follow‑up timelines.

Verification & Closure

Verification steps, results, verification date, approver name and title, final disposition, and attached evidence such as inspection reports or test certificates before formally archiving the NCR record.

Stepwise: How to Complete a Business NCR Document

Follow a consistent sequence to ensure completeness and timely resolution: identify, document, contain, investigate, correct, verify, and close.

01

Identify: Capture the condition, evidence, and exact location immediately.
02

Document: Complete the NCR form, attach photos, and enter serial or lot numbers.
03

Contain: Take immediate containment actions and record who performed them.
04

Correct: Implement corrective actions, assign owners, and set due dates.

How an Electronic NCR Workflow Typically Moves

A Business NCR Document follows a defined submission and review flow—capture, route, approve, execute corrective actions, and archive with evidence and audit trail.

Create: Record nonconformance details, attachments, and immediate actions.
Route: Send to assigned approvers and affected departments.
Investigate: Perform root cause analysis and document findings.
Close: Verify corrective actions and archive completed records.

Typical NCR Workflow Settings to Configure

Configure required fields, notifications, approvals, authentication, and retention to match your compliance and operational needs.

Field	Configuration
Notification Recipients	List emails or groups for automatic alerts
Required Attachments	Photos, test logs, and inspection reports
Approval Sequence	Sequential reviewers with escalation rules
Authentication Method	Email link, SMS code, or SSO

Digital Platform Essentials for NCRs

Verify integrations, acceptable file formats, signer authentication options, and access controls before deploying an electronic NCR workflow.

Integrations: Salesforce, NetSuite, Procore, Google Workspace
File Formats: PDF, DOCX, HTML, Excel
Authentication: Email link, SMS code, or SSO

Security and Compliance Considerations

In transit encryption: TLS 1.2 and 1.3 in transit

At‑rest encryption: AES‑256 encrypted at rest

Audit trails: Complete timestamps and action history

Compliance certifications: SOC 2 Type II and ISO 27001

HIPAA support: BAA available for PHI workflows

21 CFR compliance: Supports 21 CFR Part 11 workflows

Recommended Deadlines and Processing Targets

Define and communicate deadlines for each stage to control exposure and ensure regulatory or contractual timelines are met.

Initial report submission timeframe (hours):

Within 24 hours of detection or discovery.

Containment action completion target (hours/days):

Complete containment within 72 hours when feasible.

Root cause investigation deadline (business days):

Finish analysis and document findings within 7 days.

Corrective action implementation target (days):

Implement permanent fixes within 30 days, or document extension.

Verification and closure review timeframe (days):

Verify effectiveness and close within 90 days.

Key Milestones from Detection to Closure

Milestones provide a sequential view of NCR processing; assign owners and outputs at each stage to drive accountability and measurable progress.

01

Detection

Issue identified by staff, customer, or inspection.

02

Reporting

Form completed, evidence attached, and initial containment recorded.

03

Investigation

Root cause analysis, testing, and stakeholder interviews.

04

Closure

Corrective actions verified, approver signs, record archived.

eSignature Pricing and Feature Comparison for NCR Workflows

Comparison of starting prices and core capabilities across common eSignature vendors to inform procurement decisions for NCR processing and signature volume needs.

	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, no credit card required	Free trial varies by plan and region	Free trial varies by plan and region	Free trial varies by plan and region	Free trial varies by plan and region
Bulk Send	Yes (Business Premium+)	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 Business NCR Documents

Answers to common legal, process, and technical questions when preparing, signing, and storing Business NCR Documents.

Need help? Contact support

Can I sign an NCR electronically?
Yes. Electronic signatures are generally enforceable under the federal ESIGN Act (15 U.S.C. ch. 96) and state UETA laws when the signature shows intent, consent, attribution, and retention. Verify any narrow exceptions before replacing required paper processes.
What makes an e-signed NCR legally valid?
A valid e-signature must meet the four‑prong test: intent to sign, consent to transact electronically, signatory attribution, and retention/reproducibility of the record. Consumer disclosures are required where ESIGN specifies consent procedures for consumer‑facing records.
When is notarization required for an NCR?
Notarization is rarely required for internal NCRs. If contract terms, regulatory filings, or court processes demand notarization or notarized affidavits, follow state notary rules and confirm whether Remote Online Notarization (RON) is accepted in that jurisdiction.
How long should I keep NCR records?
Retention varies: keep originals through closure plus at least three years for business records; financial records may follow IRC §6501 (3 years) or SEC rules (17 CFR §240.17a-4). Healthcare records with PHI follow 45 CFR §164.530(j) (six years).
Who must sign or approve an NCR to close it?
Signatories are set by company policy and may include quality managers, operations leads, and plant managers. Authorized approvers should be documented in workflow settings; signatures must be attributed to an identifiable individual or role.
How do I revoke or cancel an NCR?
Record the revocation or cancellation in an amendment or follow‑up NCR showing rationale, evidence, and approver signatures. Maintain the original record and a clear audit trail of why the entry was rescinded to preserve evidentiary integrity.

be ready to get more

Join over 28 million airSlate SignNow users

Sign Now