Owner Objects to HBC Warranty Cancellation Plan

AINmxReports » November 14, 2012
November 14, 2012, 1:17 PM

Biozyme, the owner of a Hawker Beechcraft (HBC) Premier IA, has filed an objection with the bankruptcy court handling the Hawker Beechcraft proceedings, questioning the manufacturer’s plan to suspend warranty coverage as part of its efforts to exit bankruptcy. HBC announced October 29 that for the Premier IA and Hawker 4000 the company is asking the bankruptcy court for “permission to cancel certain warranties and factory-sponsored programs, including our guaranteed maintenance program SupportPlus and the Hawker 4000 upgrade and enhancement program.” HBC service centers will continue to offer support for all of its aircraft.

The objection raises questions about whether the move to cancel warranties and support is allowable under bankruptcy laws. According to the objection, “The Debtors [HBC] have not provided adequate information to suggest that they are entitled to unilaterally and without express authorization of this Court ‘cease honoring those obligations’ and that many or all of such customers may oppose rejection and any cessation of warranty benefits to which they are entitled.”

Meanwhile, Jet Support Services (JSSI) has offered Premier IA owners coverage via JSSI’s hourly-cost maintenance programs. “We’re here to complement or supplement HBC in any way that they desire,” said JSSI co-president Neil Book. “We’re not looking to encroach on their customer base. We view this as an opportunity to ensure continuity of service to Hawker Beechcraft owners.”

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