On March 28, 2020, about 1447 mountain daylight time, a TL Ultralight SRO Stingsport airplane, N7997N, was substantially damaged when it was involved in an accident at the General Dick Stout Field Airport (1L8), Hurricane, Utah. The commercial pilot and passenger were not injured. The airplane was operated as a Title 14 Code of Federal Regulations Part 91, personal flight. According to the pilot, shortly after takeoff and about 250 ft above ground level, the engine abruptly lost power. The pilot attempted to land on the remaining runway but was unable and touched down in a field. During the landing sequence, the airplane bounced, which resulted in the collapse of the landing gear and the airplane skidding to a stop. Examination of the engine by a Federal Aviation Administration-certified mechanic revealed no anomalies with the engine except for the ignition system. The ignition system was observed to have damage to the stator assembly. The ignition system was removed and sent to the engine manufacturer for examination. The ignition consisted of a stator assembly, magneto ring, flywheel hub, and associated electronic modules and coils. Examination of the stator assembly revealed that the component had sustained damage to the only two independent ignition charging coils that were attached to the assembly. The damage on the ignition charging coils was consistent with foreign object damage. The ignition charging coils were tested and failed and were determined to be nonfunctional. The failure of both ignition charging coils would result in the loss of engine power. Additional examination of the magneto ring revealed gouges and scoring marks that were consistent with foreign object damage. The ignition charging coils were positioned below the area where the scoring and gouges of the magneto ring were observed. No remnants of the foreign object damage remained, and its source was unable to be determined. All the other ignition components were examined and tested, and no anomalies were noted.