Hi sai575,
The problem was when you draw on canvas first time then the X and Y coordinates values of it are saved and when you clear it then also X and Y coordinates values are stored but it clears the content but if you again click or move to canvas then those X and Y coordinates values gets displayed which is nothing but the drawing you have preivously stored coordinates values.
You need to mention that there is no action passed to it like below which declares to the canvas that the array values are null means y and x value which allow you to create again new signature.
$('#PrincipalSignature_sketch').sketch('actions', []);