Unsurprisingly, I agree with Cecil here, but let’s look for a moment at a real-world picture of BR#2, the situation in which the treadmill accelerates quickly enough to cancel out the thrust from the engines.
The engines of the plane are at full throttle, straining with thousands of pounds of thrust against the incredible forces being exerted tangentially on its wheels—it would be a bit like stopping a condor from flying away by rubbing the tip of one of its claws with an emory board, only moreso. Any tiny irregularity in the surface of the treadmill would be magnified by the incredible speeds it achieved; if the airplane’s tires hit the slightest bump they would be jounced upward, the plane would lose contact with the treadmill, and it would move forward. If the wheels were not made of some kind of unobtanium, they would melt before your eyes, and a shower of sparks would erupt from the landing struts as they hit the treadmill—and, soon enough, the entire plane would be ground away to scrap. Finally, since all the backwards forces are being applied in shear to the very bottom of the system, the airplane would be rotationally unstable: there would be a net rotational force that would flip the airplane onto its nose, at which point the engines would shove the airplane down into the treadmill, vastly increasing the treadmill’s force, and the airplane would be flung by its nose off the back of the treadmill to crash.
Most of these are practical concerns, which Cecil rightly dismisses, though I think they contribute helpfully to a picture of the situation. But the last is intrinsic to the setup—if the treadmill applies force at the bottom, and the engines apply force in the middle, there will be a massive net rotational force. (You can try this at home, with a full glass of milk—push at the bottom with one finger, and in the middle from the opposite side with another finger, and let us know what happens.) This is exacerbated by the fact that the wheels convey all the force to the airplane via their axles—i.e., rotationally—and if you counteract that by making them frictionless then you decouple them from the airplane entirely and the treadmill has no effect. However you frame it, unless your airplane is a very unusual design, you wind up with the airplane being flipped nose-down around its front axle. However stable the three-point resting state may be, if the forces are sufficient to counteract the engines at full throttle, they’ll be sufficient to flip the plane.