From: Douglas Johnson <lancair1@bellsouth.net>
Subject: [LML] Re: LII Resale Agreement
To: lml@lancaironline.net
Date: Sunday, July 18, 2010, 7:52 AM

To that point, the requirement by Lancair for an insurance inspection by their approved parties, and training by parties approved by them, actually INCREASES their liability exposure, should a mishap subsequently occur. They become much more than a supplier of components. I would imagine tort attorneys would be salivating over these clauses.
 

Douglas W. Johnson MD, FACR

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From: Stan Fields <sdfields@austin.rr.com>
To: lml@lancaironline.net
Sent: Sun, July 18, 2010 6:35:49 AM
Subject: [LML] Re: LII Resale Agreement

I agree with Mark that the $300 transfer fee credit is a good way to ensure that Lancair can keep and maintain accurate aircraft and customer records. I also agree with Dennis that Lancair oversteps it’s role as manufacturer in tying training and aircraft inspection requirements in order to get or buy parts and support. I appreciate Lancair’s efforts in finding  and endorsing training and inspection services. I intend to avail myself of both but on a volunteer basis.

 

Lancair has made it clear that their role as manufacturer is limited to building components, not airplanes, and that builders assume complete responsibility for the purpose we choose to their components. I’m ok with that. Lancair assumes no responsibility for the “airplane” nor should it create a mandatory responsibility for its inspection or training.

 

Stan Fields

 

From: Lancair Mailing List [mailto:lml@lancaironline.net] On Behalf Of Dennis Johnson
Sent: Saturday, July 17, 2010 6:44 PM
To: lml@lancaironline.net
Subject: [LML] LII Resale Agreement

 

I agree with Mark that Lancair's decision to apply the $300 transfer fee to a credit for parts purchases is a good move.  I thank the new owner for that!  However, in my opinion the $300 was never an issue.  The following is a quote from their resale agreement:

 

Further, the new purchaser of a flying Lancair aircraft or an uncompleted kit, and prior to the
aircraft being transferred, must agree to have either flying Lancair aircraft or upon first flight of an
uncompleted kit inspected by our insurance inspection team. The new purchaser must also agree to
participate in any Lancair endorsed training program.

 

These two requirements are, it seems to me, potentially very expensive.  An inspection by Lancair's "insurance inspection team" could be thousands of dollars.  The paragraph is awkwardly worded.  It says the buyer must agree to have the inspection, but it doesn't say the inspection has to be completed and it doesn't say the airplane has to pass the inspection. 

 

One of the benefits of building my own experimental airplane is the privilege of using materials and techniques of my own choosing, with nobody (except the FAA, sort of) looking over my shoulder.  Although I'm confident my relatively small modifications from the official plans would be acceptable to Lancair, there's always the possibility that some future Lancair owner (we're now on the third since I've been building) could decide any changes from the plans, no matter how insignificant, must be "corrected" before allowing the new purchaser to register the airplane.  I'm not comfortable giving up that much power to Lancair.  It's my airplane, not theirs. 

 

The resale agreement also says that the purchaser "must also agree to participate in any Lancair endorsed training program."  Holy moly, that's a requirement limited only by the imagination of Lancair. A new owner could also decide, for some insurance purpose perhaps, that the "Lancair endorsed training program" would require who knows how many hours in a Lancair, completed at Redmond. 

 

The inspection requirement, particularly if it includes a requirement that the inspection must be "passed," and the unbounded training requirement, could cost a seller thousands of dollars, and possibly tens of thousands.  And I think the cost will fall on the seller, even if the purchaser is the one who writes the check.

 

Dennis