Property Management
An Illinois property manager who signs a lease on behalf of an owner without written authority to do so:
AHas acted within implied authority as property managers always have lease authority
BHas acted outside their authority and the owner may not be bound by the unauthorized lease✓ Correct
CHas created a valid lease that the owner must honor
DMust file a late authorization form with IDFPR
Explanation
A property manager who signs a lease on behalf of an owner without written authorization has acted outside the scope of their authority. The owner may not be bound by the unauthorized lease, and the manager may be personally liable to the tenant for breach of warranty of authority. Property management agreements should clearly specify leasing authority.
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