Stepping Out of the Box W/O Timeout Granted

[Spence]

High school. BR steps out of the box while the pitcher is beginning his motion. Umpire does not grant time.

I am NOT an umpire but I thought I've read on here previously that in FED the pitch is an automatic strike regardless of where it is. Am I making that up?

So two questions:

1. Am I right or wrong in my memory?
2. What if the pitcher stops and there are runners? Nothing? Balk?