What was the debrief on the failed observation ride? Is the SIC that was party to this event a well connected insider? In some ways it doesn’t matter, you will have to explain it in an interview and having to explain any negative means you are on the defensive and need to really have the best answer that doesn’t make you look bad. As far as potential employment, do you have enough PIC part 135 time to be a quick upgrade at a regional? Might seem implausible, but your best shot may be as a quick upgrade captain at a regional. You would need to run this by a recruiter at the airlines, and you would be well advised, to talk to one of the companies that prep pilots for interviews. That will cost $$ but it may be the best money you spend to get you moving forward.