While the world of LSAs is diverse enough that the trials of Van’s Aircraft, which put itself into Chapter 11 bankruptcy protection late last year, aren’t quite the foundational matters they are among the homebuilt crowd, the fact that Van’s is represented with the popular RV-12 and companies that support it are also part of the LSA ecosystem suggests more than a little spillover. In the background, Van’s has been working hard to reset its business and emerge from Chapter 11. And on May 15 the company received good news in the form of an Oregon judge approving the company’s reorganization plan. While it seemed unlikely, there was always the possibility that the court would reject or modify the company’s proposal.
In the proposal, Van’s has agreed to repay unsecured creditors 55% of the money they’re owed over three years on top of an “immediate” repayment of $3350 for those in the unsecured creditor class.