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NOVEMBER 2021

Week 45

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Boeing accepts responsibility for fatal Ethiopian Airlines 737 MAX crash

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November 11th 2021

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Boeing has agreed to accept responsibility for the crash of an Ethiopian Airlines 737 Max in 2019 as it moves to settling legal action taken by families of the 157 people killed in the tragedy. Read More » Ethiopian Airlines Flight 302 crashed shortly after take-off from Addis Ababa airport in March 2019. The accident followed a fatal crash of a Lion Air 737 MAX in 2018 and led to the long-term global grounding of the MAX. Both tragedies were linked to flight management software known as the Maneuvering Characteristics Augmentation System (MCAS) and have cost Boeing billions of dollars in compensation, lost orders and modifications to the systems of the type. In a stipulation filed in the U.S. District Court for the Northern District of Illinois and reported by U.S. media, the U.S. manufacturer said it would “admit it accepts responsibility for the crash of flight ET302” and that it “does not blame nor allege that any other person or entity was responsible for the Plaintiff’s damages”. Representatives for families agreed not pursue punitive damages against Boeing. The Wall Street Journal said the stipulation was not a settlement but brought Boeing closer to resolving another aspect of the plane crash. Most lawsuits from the Lion Air crash have already been settled. A committee representing most of the families described the concession as a significant milestone for the families. It said it would ensure they were all treated equitably and would be eligible to recover full damages under Illinois law “while creating a pathway for them to proceed to a final resolution, whether through settlements or trial”. Boeing said in a statement: “We extend our deepest condolences to the families of those lost on Lion Air Flight 610 and Ethiopian Airlines Flight 302. Since the accidents, Boeing has made significant changes as a company and to the design of the 737 MAX, to ensure accidents like those never happen again. Boeing is committed to ensuring all families who lost loved ones in the accidents are fully and fairly compensated for their loss. The agreement filed with the Court today is an important step forward in that process. By accepting responsibility, Boeing’s agreement with the families allows the parties to focus their efforts on determining the appropriate compensation for each family.” Earlier this month, the OEM settled a shareholder lawsuit that claimed board oversight of the 737 MAX was deficient.

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