Baltimore, MD (PRWEB) August 29, 2008
A vital step was completed in simplifying electronic finance documentation processes and facilitating their securitization with the approval by the Accredited Standards Committee X9 (ASC X9) and the American National Standards Institute (ANSI) of ANSI X9.110-TOLEC (Transfer of Location of Electronic Contracts). The new American National Common provides a legally compliant methodology to securely move original electronic finance documents, like electronic chattel paper for securitization in the secondary industry, from a single place to an additional. Companies which follow the method of the normal can execute such transfers between entities without violating the needs of existing laws for the discernable existence of only one original or “authoritative copy” of the finance documents.

The improvement of the new ANSI X9.110-TOLEC normal started when eOriginal, as an X9 member, submitted a new regular operate project to initiate the 18 month drafting work. Bryan Caporlette, Chief Technologies Officer and Chief Operating Officer of eOriginal, was the Convenor and leader of the Operating Group beneath ASC X9 which prepared the new regular. Mr. Caporlette explained that “TOLEC fills a gap in the management of the full lifecycle of electronic automobile retail sales agreements known as eContracts, by providing market consensus on a uniform approach to transfer eContracts from one particular place to one more for the purposes of aggregating, managing, pooling and securitizing these negotiable instruments”.

Vehicle finance portals, captive finance organizations, banks, other finance sources and custodians accept eContracts and maintain the originals in electronic vaults in order to keep them legally compliant, admissible, and negotiable. With the X9.110-TOLEC standard, finance firms wanting to pool and securitize electronic contracts maintained in different areas need to have no longer be concerned about preserving the integrity of the originals as they are moved from 1 place to an additional. Any electronic vault, using X9.110-TOLEC normal messaging, can automatically execute a series of interactions that provide flawless vault-to-vault transfers.

The new X9.110-TOLEC common clearly outlines the process for a “sending vault” to communicate with a “receiving vault”, to automatically authenticate and validate the controller and source of authoritative copies and transfer them from a single place to one more. The receiving vault validates and accepts transfers of the eContracts and ancillary documents along with their audit trails. The audit trails prove ownership and track activity regarding the authoritative copies, maintaining the eContracts enforceable, admissible and negotiable. All communication is encrypted and all messages and documents are digitally signed for tamper-proof.

The ASC X9 Functioning Group was comprised of business company experts, the legal neighborhood, regulatory agencies, sector service providers, finance and credit card organizations and other lenders. The American Economic Solutions Association led the work with ANSI and served as the standard’s document editor. Copies of ANSI X9.110-TOLEC are accessible at http://www.x9.org.

About eOriginal
eOriginal, Inc.’s sophisticated electronic signature and vaulting solutions enable monetary solutions companies to eradicate paper whilst legally protecting their assets as they are held and transitioned throughout their lifecycle. eOriginal technologies and processes develop legally binding electronic signatures and Electronic Original