Expedited Court Schedule Set for Family Objections to Boeing’s Plea Deal Following 737 Max Crashes
A U.S. District Judge, Reed O’Connor, has established a swift timeline to address the objections raised by the families of victims from the 737 MAX crashes regarding Boeing’s recent plea agreement with the Justice Department. This move underscores the gravity and urgency of the legal proceedings tied to Boeing’s accountability for the twin disasters.
Boeing, on July 7, agreed in principle to plead guilty to a criminal fraud conspiracy charge, which includes a fine of $243.6 million. This decision follows allegations that Boeing conspired to defraud the Federal Aviation Administration by misrepresenting key software functionalities crucial to the 737 MAX’s safety. These software flaws were linked to fatal crashes in Indonesia and Ethiopia in 2018 and 2019, which collectively resulted in 346 deaths and led to a 20-month grounding of the once best-selling aircraft.
The expedited schedule outlined by Judge O’Connor allows relatives of the crash victims one week to file their objections after the Justice Department submits the plea agreement. Following this, the government and Boeing will have two weeks to respond, with the families then given an additional five days for any further responses.
Critics of the deal, including Erin Applebaum from Kreindler & Kreindler LLP, who represents some of the victims’ relatives, have described the plea as insufficient, labeling it a “slap on the wrist.” This sentiment reflects the broader dissatisfaction among the families regarding the perceived leniency of the penalties Boeing faces, given the scale and impact of the tragedies.
As part of the plea agreement, Boeing is also committed to investing at least $455 million over three years to enhance safety and compliance measures. Additionally, the deal mandates the appointment of an independent monitor to oversee Boeing’s adherence to these commitments, with annual progress reports to be made public during a probation period lasting three years.
This legal development occurs amidst ongoing investigations into other safety incidents involving Boeing aircraft, including a recent episode where a panel detached from a new 737 MAX 9 during an Alaska Airlines flight. This incident, while not resulting in serious injuries, has triggered a separate criminal probe and added to the scrutiny Boeing faces over its aircraft safety protocols.
The U.S. Justice Department is expected to formally file the plea agreement and supporting documents by July 19, marking a significant step in resolving one of the most consequential legal challenges in Boeing’s history and in corporate America.