I agree with the red flags you listed but I think I raised an eyebrow when you named that they showed an address in Deleware as one of them. No matter where they show an address, it it is a lie it's a lie. That. to me is the biggest red flag of all. I see this all the time here on SOT when an obviously foreign company claims they are from Texas, Alabama, New York or any other state. Add to this when they use an obviously fictitous personal name and in my opinion, you would be playing with fire to do business with them.

I considered incorporating in Delaware in the late 70's when I started Horizon Manufacturing, but it wasn't for any income tax advantage. Texas doesn't have an income tax to begin with. I considered Delaware because it was simpler than incorporating in Texas. Anyway didn't you say they showed an address in Delaware but registered there LLC under a different name in a different state? What I really want to know is where, if anywhere do they have a legitimate physical presence in the US. (Not just a mail drop or vacant lot.) I remember one company that actually showed their address in the middle of a lake. There are many risks involved in dealing with anyone who isn't being honest and upfront including the one law you pointed out in your previous article. There are also local, state and federal laws that can come into play when working with people who aren't who they say they are.

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