re Patents:
The majority of helicopters, by far, are military craft. The US government states that it can take any patented invention, at any time, and do anything it wants with it.
slowrotor,
"I have a primal distrust of the intermeshing configuration."
The web page
[Intermeshing Configuration - Concerns] covers every concern that I have come across regarding the safety, reliability and performance of the intermeshing configuration. Following each concern, a response is given. I have attempted to keep this information as factual as is possible, since the inclusion of hype would serve no purpose.
Perhaps some of this information may allay your concerns. Then again it may enhance them.
"...how dangerous a helo really is in a hover at 50ft. I came to the realization that the primary problem is the downwash. A hovering helo is in self induced downdraft, so when the engine quits there is really nothing that can be done other than fall like a rock."
I assume that your primary concern is getting away from the downwash; by ether getting vertically through it or horizontally away from it. Perhaps, with very small rotorcraft, the disk loading, the resultant downwash velocity and the Vortex Ring State are too small to be a significant problem.
"Does the Kmax logging helo have any advantage in a low level power loss because of the intermesh?"
The K-Max might be able to quickly drop its load and thereby have a low disk loading. Just a guess. I do know that the Flettner intermeshing FL-282 was the first helicopter to enter then exit autorotation.
Dave