The document discusses California becoming the first state to pass a law in 1999 legalizing electronic contracts and signatures. The law aims to ensure electronic contracts and signatures have the same legal standing as paper contracts. However, the law only applies when parties agree in advance to electronic transactions and excludes some transactions like wills and certain consumer protection agreements. While the law will significantly impact contract law in California and nationwide, its full effects remain to be determined through future legal cases involving electronic contracts.