diff --git a/tests/python/functional/authority/test_account_authority.py b/tests/python/functional/authority/test_account_authority.py
new file mode 100644
index 0000000000..d39f965a3d
--- /dev/null
+++ b/tests/python/functional/authority/test_account_authority.py
@@ -0,0 +1,109 @@
+from __future__ import annotations
+
+from typing import TYPE_CHECKING
+
+import pytest
+
+import test_tools as tt
+from hive_local_tools import run_for
+from hive_local_tools.functional.python import get_authority
+
+if TYPE_CHECKING:
+    from hive_local_tools.functional.python.operation import Account
+
+
+@run_for("testnet")
+@pytest.mark.parametrize("authority_level", ["posting", "active", "owner"])
+def test_posting_account_authority(node: tt.InitNode, authority_level: str, alice: Account, bob: Account) -> None:
+    alice.wallet.api.update_account_auth_account(alice.name, authority_level, bob.name, 1)
+    assert (bob.name, 1) in get_authority(
+        node, alice.name, authority_level
+    ).account_auths, f"Account {bob.name} was not set as account_auths for the account {alice.name}."
+
+    bob.wallet.api.import_key(tt.PrivateKey(bob.name, secret=authority_level))
+    assert len(bob.wallet.api.list_keys()) == 1, "Bob's wallet has an incorrect number of keys. Expected 1"
+    bob.wallet.api.use_authority(authority_level, bob.name)
+
+    is_bob_authorized_to_sign_alice_transaction = node.api.database.verify_account_authority(
+        account=alice.name, signers=[tt.PublicKey(bob.name, secret=authority_level)], level="posting"
+    ).valid
+
+    if authority_level == "posting":
+        assert is_bob_authorized_to_sign_alice_transaction
+        bob.wallet.api.post_comment(alice.name, "test-permlink", "", "someone0", "test-title", "body", "{}")
+    else:
+        assert not is_bob_authorized_to_sign_alice_transaction
+        with pytest.raises(tt.exceptions.CommunicationError) as exception:
+            bob.wallet.api.post_comment(alice.name, "test-permlink", "", "someone0", "test-title", "body", "{}")
+        assert "missing required posting authority" in exception.value.error
+
+
+@run_for("testnet")
+@pytest.mark.parametrize("authority_level", ["posting", "active", "owner"])
+def test_active_account_authority(node: tt.InitNode, authority_level: str, alice: Account, bob: Account) -> None:
+    alice.wallet.api.update_account_auth_account(alice.name, authority_level, bob.name, 1)
+    assert (bob.name, 1) in get_authority(
+        node, alice.name, authority_level
+    ).account_auths, f"Account {bob.name} was not set as account_auths for the account {alice.name}."
+
+    bob.wallet.api.import_key(tt.PrivateKey(bob.name, secret=authority_level))
+    assert len(bob.wallet.api.list_keys()) == 1, "Bob's wallet has an incorrect number of keys. Expected 1"
+    bob.wallet.api.use_authority(authority_level, bob.name)
+
+    is_bob_authorized_to_sign_alice_transaction = node.api.database.verify_account_authority(
+        account=alice.name, signers=[tt.PublicKey(bob.name, secret=authority_level)], level="active"
+    ).valid
+
+    if authority_level == "active":
+        assert is_bob_authorized_to_sign_alice_transaction
+        bob.wallet.api.transfer("alice", "initminer", tt.Asset.Test(10), "bob signed alice transfer.")
+    else:
+        assert not is_bob_authorized_to_sign_alice_transaction
+        with pytest.raises(tt.exceptions.CommunicationError) as exception:
+            bob.wallet.api.transfer("alice", "initminer", tt.Asset.Test(10), "bob signed alice transfer.")
+        assert "missing required active authority" in exception.value.error
+
+
+@run_for("testnet")
+@pytest.mark.parametrize("authority_level", ["posting", "active", "owner"])
+def test_owner_account_authority(node: tt.InitNode, authority_level: str, alice: Account, bob: Account) -> None:
+    alice.wallet.api.update_account_auth_account(alice.name, authority_level, bob.name, 1)
+    assert (bob.name, 1) in get_authority(
+        node, alice.name, authority_level
+    ).account_auths, f"Account {bob.name} was not set as account_auths for the account {alice.name}."
+
+    if authority_level == "owner":
+        assert node.api.database.verify_account_authority(
+            account=alice.name, signers=[tt.PublicKey(bob.name, secret="active")], level="active"
+        ).valid
+
+        bob.wallet.api.import_key(tt.PrivateKey(bob.name, secret="active"))
+        assert len(bob.wallet.api.list_keys()) == 1, "Bob's wallet has an incorrect number of keys. Expected 1"
+        bob.wallet.api.use_authority("active", bob.name)
+
+        bob.wallet.api.update_account(
+            alice.name,
+            "{}",
+            owner=tt.Account("alice", secret="new-owner").public_key,
+            posting=tt.Account("alice", secret="posting").public_key,
+            active=tt.Account("alice", secret="active").public_key,
+            memo=tt.Account("alice", secret="memo").public_key,
+        )
+    else:
+        assert not node.api.database.verify_account_authority(
+            account=alice.name, signers=[tt.PublicKey(bob.name, secret=authority_level)], level="owner"
+        ).valid
+
+        bob.wallet.api.import_key(tt.PrivateKey(bob.name, secret=authority_level))
+        assert len(bob.wallet.api.list_keys()) == 1, "Bob's wallet has an incorrect number of keys. Expected 1"
+
+        with pytest.raises(tt.exceptions.CommunicationError) as exception:
+            bob.wallet.api.update_account(
+                alice.name,
+                "{}",
+                owner=tt.Account("alice", secret="new-owner").public_key,
+                posting=tt.Account("alice", secret="posting").public_key,
+                active=tt.Account("alice", secret="active").public_key,
+                memo=tt.Account("alice", secret="memo").public_key,
+            )
+        assert "missing required owner authority" in exception.value.error