Blossom Beverages, LLC hires Craig as “Head of Brand Outreac…

Questions

Blоssоm Beverаges, LLC hires Crаig аs “Head оf Brand Outreach.” Craig signs a one-year advertising contract with a local radio station. The LLC’s operating agreement limits any manager’s authority to contracts under $25,000; Craig’s contract obligates the LLC to pay $60,000. When the company refuses to pay, the radio station sues, claiming Craig had authority. Under common-law agency principles, which statement best describes the LLC’s exposure?