So for the advice:
If you are building a teardrop and want a frame for insulation use a wood that won't warp for your frame - or maybe even 3/4" birch plywood. OR don't worry about the insulation and just use the 3/4" plywood that Halfdome Danny has perfected.
Also, epoxy and topside marine paint is A LOT of work. Aluminum is MUCH easier.
OK, Now for the question.
I've opened up the affected area and removed the plywood that has come apart and I've sanded down the side of the TD. The plan is to cover the side with aluminum. I'm actually looking for a anodized or painted aluminum sheet sheet so I can still have color. I really like the blue... but that's another topic.
The question is, what is the best way to patch the problem area? I'm considering two options. 1) Completely cutting out the problem wood back to the next studs (marked by the arrow lines in the picture below) and putting in a new piece of plywood or 2) using bondo to cover the area before applying the aluminum sheet over top. The bondo concerns me for two reasons that I can think of - first it's a biger area and will be a bit deep as well as there is not much for it to fix to as you can see there are some places I'm all the way down to the insulation and secondly, I don't want to introduce moisture, although the bondo will set.
Maybe there are other ideas as well. Thanks.