Repudiation occurs when an individual denies involvement in a transaction. For example, when someone claims a credit card is stolen, he or she is repudiating liability for transactions that occur with that card any time after reporting the theft. Non-repudiation means that an individual cannot successfully deny involvement in a transaction. In the paper world, an individual’s signature legally binds them to their transactions (credit card charges, business contracts, etc.). The signature prevents repudiation of those transactions. In the electronic world, the replacement for the pen-based signature is a digital signature. All types of e-commerce require digital signatures because e-commerce makes traditional pen-based signatures obsolete. The signing private key The most basic requirement for non-repudiation is that the key used to create digital signatures – the signing key – be generated and securely stored in a manner under the sole control of the user at all times. It is not acceptable to back up the signing key. Unlike encryption key pairs, there is no technical or business requirement to back up or restore previous signing key pairs when users forget their passwords or lose, break, or corrupt their signing keys. In such cases, it’s acceptable for users to generate new signing key pairs and continue using them from that time forward. The need for two key pairs It’s difficult to simultaneously support key backup and recovery and non-repudiation. To support key backup and recovery, the decryption keys must be backed up securely. But to support non-repudiation, the keys used for digital signature cannot be backed up and must be under the sole control of the user at all times. To meet these requirements, a PKI must support two key pairs for each user. At any point in time, a user must have one current key pair for encryption and decryption, and a second key pair for digital signature and signature verification. Over time, users will have numerous key pairs that must be managed appropriately.