She's probably using one floating around the office, one you provided, or one she bought from an attorney that's full of legal jargon and missing important clauses.

Our counsel previously advised we are legally entitled to a greater amount including all lost rent until the home was re-signed, cost of lock-out, cost to clean up house, physical damage, ect.For context, this is a solid house in a decent neighborhood and we never had prior issues with the tenant. 

It may also help keep the litigation target off your back.As always, check with your competent legal counsel--not all attorneys speak fluent "trust function and formation".

@Chris SeveneyNote not An attorney or providing legal advice

Also, find a copy of the short sale Approval Letter from your lender and read it again, thoroughly.

@George Fleming Better make sure it's legal to do that.

i find it hard to see how this would be legal and enforceable. there must be more to it.

It is the IRS rules around short term rentals.Loophole - A way of avoiding or escaping a cost or legal burden that would otherwise apply by means of an omission or ambiguity in the wording of a contract or law.

We have in our management agreement what amount of work we're authorized to have done without an approval from an owner (ours is $350)  If you don't have that, I would request that. 

I am starting to worry it’s fraud and will be seeking legal counsel on next steps .