I sent the following to the aircraft seller:
After discussing the situation at length with Mort's mechanics, I would like the two of us to be there when Mort points out the deficiencies he has uncovered. Amy and I entered into this agreement in good faith with the understanding that the aircraft had all ADs complied (untrue), was well maintained (untrue), and had a mid-time engine (true, but significant damage/ pitting was noted on borescope exam and a major overhaul is recommended due to deteriorated gaskets, piston condition, etc.). After talking with you at length I do believe you represented the aircraft as you believed it to be, as evidenced by your willingness to give us a test flight and to fly it to Flying W. From what has been uncovered on inspection, I believe you have been grossly deceived by your mechanic, and I honestly would recommend advising the FAA of his actions (and inactions). Mort and his employees are still working on the report of the inspection, which may be helpful if you pursue action against your mechanic. The improper rigging of the flight controls shows, according to Mort's staff, that he probably did not even look into the tailcone on the annuals (or if he looked he ignored the proper rigging of said controls). He also was incapable of running safety wires correctly as evidenced by the wrong size wires used and the lack of safety wires at certain places. Furthermore, they replaced one of the safety wires on the prop because it was so loose they felt it to be dangerous (once again, I strongly advise that we both look at this with Mort). Amy and I had both agreed that we were willing to go so far with maintenance, and replacing safety wires and rigging controls is more than reasonable. However, an engine that is a short and unknown duration away from a potential catastrophic failure and/ or major overhaul is beyond our comfort zone. In addition, with the deficiencies on the data plate of the engine I am not sure there would even be a refund of the core deposit for returning the current engine (quoted as $6500 above and beyond the overhaul cost). Plus, one magneto failed the check during run-up, the carb leaks terribly, the exhaust brackets are broken, and many other issues.
You yourself have said that aviation is terribly unforgiving, and I agree. I need to trust my wife's life to any aircraft we purchase. To me, that means squeaky clean ADs and all Service Bulletins complied too. Her life is worth nothing less, and I am sure she feels the same about mine. I trust the helicopters I fly. I trust the mechanics who repair them. I trust Mort. I do not trust 84S in her current condition.
At this point, after personally looking at the deficiencies noted, Amy and I are in agreement that we cannot complete this transaction with the aircraft in this condition. Furthermore, the cost to remedy the situation would most likely be greater than the price we have agreed as the purchase price of the aircraft, making it a bad financial decision for all three of us. If you only knew the look in Amy's eyes when we were driving home after our agreement on this purchase, you would know the heartache and pain it causes for me to say this: 84S is probably worth more as salvage than as an airplane. I thought she might be a diamond in the rough, and maybe to someone she will be, but right now she looks like either a death trap or a money pit.
I spent a portion of today at the Hackettstown airport looking around as I plan to do a cross-country with a stop there, and I grieve for general aviation. I saw aircraft after aircraft that had been abandoned, sitting on an essentially abandoned airfield, left to rot tied down in a small grass plot, some being cannibalized for control surfaces or engines. I feel terrible that right now we do not have the financial resources to restore 84S to her former glory. I would hate to see her suffer the same fate as other 150s I saw earlier today, but I have to admit that we are powerless in this situation. Restoring her would have to be a labor of love, as it would be a terrible business decision, and although Amy and I both have enough love and sweat for the job, at least for the next six months we are tremendously short on the money for that size of a project.
As agreed, we will pay for the labor costs for the inspection to this point. However, we will have to leave to you any costs associated with repairs (none have been done except for the one safety wire on the prop, and that is on us). I would strongly discourage you from obtaining a ferry permit. You know airplanes much better than I, but risk and benefit, life and death is my job. If I were you, I would value my life too much to fly 84S in this condition.