Authlogic with activations - nesting the User sign up form not working

Question

Hi I have Authlogic with activation emails being sent working just fine. The problem is I would like to next this user sign up form in a larger account form.

It seems that when I do this the user information is put in just fine however the User create does not trigger the @user.signup! when nested into a form.

Any ideas on why or what I could do to fix this? Thanks.

def create
 @user = User.new

 if @user.signup!(params)
   @user.deliver_activation_instructions!
   flash[:notice] = "Your account has been created. Please check your e-mail for your account activation instructions!"
   redirect_to profile_url
 else
   render :action => :new
 end

end