Just as in other legal contracts, corporate authority and the enforceability of the signatories must be considered when negotiating a lease. The question of who must sign a lease in order for it to be enforceable is a question of state law and the terms of the governing documents of the business leasing the rental. Unless a tenant can provide proof that the person signing the lease is in fact authorized to do so by proper action, a landlord is at risk of a claim that the lease was not dully authorized and is therefore not binding.
It is also important to confirm that the tenant entity is in good standing in the state where it was formed and is qualified to do business in the state in which the premises are located. Commercial Property Management is just a click our call away!
Nothing found herein should be construed as an attempt to offer or render a legal opinion or otherwise engage in the practice of law. You should obtain the advice of an attorney well versed in these matters.
