(a) At the time a complaint is filed, the plaintiff shall send each holder that is not named as a party in the action a copy of the complaint with exhibits and a statement that: (1) The holder is not a party in the proceeding and any judgment in the proceeding will not affect any claim of the holder; and (2) If the holder elects to appear in the proceeding, the holder will appear as a defendant and be bound by any judgment entered in the proceeding. (b) The complaint and statement shall be sent by certified mail, return receipt requested, and by first-class mail to the holder: (1) At the address set forth in the security instrument for the holder's receipt of notices; or (2) If no address for the holder's receipt of notices is set forth in the security instrument, at the last known address of the holder.
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