Opinion ID: 1684767
Heading Depth: 2
Heading Rank: 2

Heading: Plan TwoSouthwestern

Text: In June 1998, the Developers created a second entity through which to raise money for investment in the car-title-loan business. More specifically, the Developers formed Southwestern Holdings, L.L.C. (Southwestern), to loan money to Sunset, a foreign entity with its principal place of business in Georgia. Through Southwestern, they proposed to issue seven-year bonds to investors throughout the United States. Southwestern was organized under the laws of Nevada. Southwestern's Private Placement Memorandum describes Nichols as the Managing Director. In that document, the other Developers, including Norton, were described as Marketing Managers. Dill was retained, among other things, to draft offering documents for Southwestern's seven-year bonds and to ensure that the bond offering complied with the securities laws of the United States and of the states in which the bonds were to be sold. It is undisputed that Matsukage was the Dill attorney responsible for providing those services. In that connection, she prepared and mailed to the securities commissions of various statesincluding Alabamaan instrument, styled Form-D Notice of Sale of Securities Pursuant to Regulation D, Section 4(6), and/or Uniform Limited Offering Exemption (the Form-D notice). The eight-page form primarily contains information regarding (1) the date of Southwestern's organization or incorporation; (2) Steven Nichols's name and his address as Southwestern's promoter and general and/or managing partner; (3) the minimum investment [to] be accepted from any individual; and (4) the aggregate offering price of the bonds to be offered. Accompanying the Form-D notice was a Form U-2 Uniform Consent to Service of Process (the consent form), by which Southwestern appointed the secretary of state as its attorney to receive process. Also on that form was the following: It is requested that a copy of any notice, process or pleading served hereunder be mailed to: Fay M. Matsukage, Esq. Dill, Dill, Carr, Stonbraker & Hutchings, P.C. 455 Sherman Street, Suite 300 Denver, Colorado 80203 In their briefs to this Court, the parties referas we do hereinafter collectively  to the mailing of the Form-D notice and the consent form to the Alabama Securities Commission as the blue-sky filing. [2] From March 1999 through June 10, 1999, Southwestern sold bonds and loaned the proceeds from the sale to Sunset. Nineteen Alabama residents invested $2,539,000 in the Southwestern offering.