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mdaya1

Guest
What is the name of your state? colorado

hello i am a hotel owner in the state of mississippi. My manager at the property signed a contract for 3 years for a longdistance carrier in the state of colorado without the companies authoriztion. Is this contract legal and binding. The manager is not allowed to act in behaf of the company which is a LLC.

Thank You
 


L

loku

Guest
Even if the property manager does not have authority to make such contracts, the contract would still be binding on the company if under the circumstances the longdistance carrier reasonably believed he or she had the authority. The manager is usually "clothed with apparent authority." As a matter of fact, most managers do have such authority and so they PROBABLY had reasonable cause to believe the authority existed and so the contract would PROBABLY be binding on you. Since this is a matter of what is REASONABLE to believe, there is no definite answer.
 

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