When is a rental agreement considered legally binding in Montana?

A rental agreement in Montana is considered legally binding when both parties—the landlord and the tenant—sign and agree to the terms outlined in the agreement. This mutual consent establishes a contractual obligation that allows both parties to enforce the terms of the lease. The act of signing indicates that both parties understand and accept the responsibilities and expectations set forth in the document.

For example, if only the landlord signs the agreement, it does not establish a binding contract with the tenant, as the tenant has not formally agreed to the terms. Similarly, submitting the agreement to a local government office does not create a binding contract; it might be part of a registration process but does not affect the legality of the agreement itself. Lastly, while paying the first month's rent often occurs simultaneously with signing the lease, it is the mutual agreement and signatures that solidify the contractual basis, not the payment alone.