Evergreen Helicopters found in default
In 2010, the Evergreen International Aviation subsidary commissioned Aerospace Vendor Solutions of Texas to retrofit a fleet of helicopters and obtain new FAA certification for them. It also commissioned the company to resolve “dozens of out outstanding FAA airworthiness directives” preventing its aircraft from flying legally in U.S. airspace.
The work included installing night-vision imaging equipment, installing closed-circuit refueling systems, updating seating and lighting systems, fabricating helicopter steps, modifying electronic systems, installing flight data recorders and modernizing cockpit displays. But two years into the project, Aerospace threatened legal action, alleging Evergreen was $589,640.84 behind on their mutually agreed payment schedule.
Evergreen agreed to make up the difference in three installments. In exchange, Aerospace agreed to continue working on the aircraft.
However, after making two full payments and one partial payment, Evergreen defaulted, Aerospace alleged in a lawsuit it filed in Yamhill County in February. The company sought $264,344 to cover the rest of the third payment and work performed subsequent to the make-good agreement.
Evergreen did not respond, setting the stage for issuance of a default judgment. In the meantime, it agreed to sell its helicopter subsidiary in a deal expected to close by mid-year.
The court ordered Evergreen to pay Aerospace $277,761.82, enough to also cover interest and legal expenses associated with the filing.