Boeing's 737 Max Can't Shake Its Past
Bloomberg Businessweek US|January 30, 2023
Families of those who died in two crashes are challenging the government's immunity deal
Greg Farrell and Madlin Mekelburg
Boeing's 737 Max Can't Shake Its Past

Two years ago, Boeing Co. reached an agreement with the US Department of Justice to defer prosecution on one charge that it had deceived regulators about changes in its 737 Max flight control system that were linked to a pair of airline disasters.

The plane is flying again, and Boeing is raking in revenue from one of its most important programs.

But now families of the crash victims are taking the company to court in a move that could inflict new legal and financial pain.

At an arraignment scheduled for Jan. 26 in Fort Worth, the families of 10 victims who died in the 737 Max crashes were expected to tell the court about the anguish, pain and financial hardship they suffered as a result of Boeing's actions. Some were likely to express outrage that the DOJ let the company off with a pledge of immunity, aiming to get the judge to slap Boeing with stiffer penalties.

The hearing marks the first time a Boeing executive would have to enter a plea to the charge that the deferred prosecution agreement (DPA) let it avoid in 2021: conspiracy to defraud the United States. If Boeing pleads not guilty-as expected-it risks violating the terms of the earlier agreement, which forbade it from denying its role in hiding issues with the 737 Max flight control system from the Federal Aviation Administration. But a plea of "not guilty" also will spark anger among the victims' families, because the company has already admitted its behavior in its DPA with the Justice Department.

This story is from the January 30, 2023 edition of Bloomberg Businessweek US.

Start your 7-day Magzter GOLD free trial to access thousands of curated premium stories, and 8,500+ magazines and newspapers.

This story is from the January 30, 2023 edition of Bloomberg Businessweek US.

Start your 7-day Magzter GOLD free trial to access thousands of curated premium stories, and 8,500+ magazines and newspapers.

MORE STORIES FROM BLOOMBERG BUSINESSWEEK USView All
Instagram's Founders Say It's Time for a New Social App
Bloomberg Businessweek US

Instagram's Founders Say It's Time for a New Social App

The rise of AI and the fall of Twitter could create opportunities for upstarts

time-read
4 mins  |
March 13, 2023
Running in Circles
Bloomberg Businessweek US

Running in Circles

A subscription running shoe program aims to fight footwear waste

time-read
3 mins  |
March 20 - 27, 2023
What I Learned Working at a Hawaiien Mega-Resort
Bloomberg Businessweek US

What I Learned Working at a Hawaiien Mega-Resort

Nine wild secrets from the staff at Turtle Bay, who have to manage everyone from haughty honeymooners to go-go-dancing golfers.

time-read
10 mins  |
March 20 - 27, 2023
How Noma Will Blossom In Kyoto
Bloomberg Businessweek US

How Noma Will Blossom In Kyoto

The best restaurant in the world just began its second pop-up in Japan. Here's what's cooking

time-read
3 mins  |
March 20 - 27, 2023
The Last-Mover Problem
Bloomberg Businessweek US

The Last-Mover Problem

A startup called Sennder is trying to bring an extremely tech-resistant industry into the age of apps

time-read
10+ mins  |
March 20 - 27, 2023
Tick Tock, TikTok
Bloomberg Businessweek US

Tick Tock, TikTok

The US thinks the Chinese-owned social media app is a major national security risk. TikTok is running out of ways to avoid a ban

time-read
10+ mins  |
March 20 - 27, 2023
Cleaner Clothing Dye, Made From Bacteria
Bloomberg Businessweek US

Cleaner Clothing Dye, Made From Bacteria

A UK company produces colors with less water than conventional methods and no toxic chemicals

time-read
3 mins  |
March 20 - 27, 2023
Pumping Heat in Hamburg
Bloomberg Businessweek US

Pumping Heat in Hamburg

The German port city plans to store hot water underground and bring it up to heat homes in the winter

time-read
3 mins  |
March 20 - 27, 2023
Sustainability: Calamari's Climate Edge
Bloomberg Businessweek US

Sustainability: Calamari's Climate Edge

Squid's ability to flourish in warmer waters makes it fitting for a diet for the changing environment

time-read
4 mins  |
March 20 - 27, 2023
New Money, New Problems
Bloomberg Businessweek US

New Money, New Problems

In Naples, an influx of wealthy is displacing out-of-towners lower-income workers

time-read
4 mins  |
March 20 - 27, 2023