A US federal judge ordered Boeing to appear in court next week to face family members of those killed in 737 MAX crashes who are challenging the airline’s previous government settlement.
Boeing’s argument that its presence at an arraignment was not required was rejected by US District Judge Reed O’Connor, who directed the company to have a “appropriate person” present at a January 26 hearing in Fort Worth, Texas.
A spokesman for Boeing declined to comment.
The case involves a deferred prosecution agreement announced in January 2021 under which Boeing agreed to pay over $2.5 billion in fines and restitution to settle US Department of Justice (DOJ) charges that it defrauded regulators overseeing and certifying the 737 MAX.
DOJ officials slammed the company at the time for “half-truths” and “covering up” problems with its planes, but the agency has not prosecuted high-ranking Boeing executives in the aftermath of the debacle.
Two Boeing plane crashes in October 2018 and March 2019 killed 346 people and grounded the MAX model for more than a year and a half.
Victims’ attorneys argue that federal law requires the DOJ to consult with victims before reaching an agreement.
Federal law requires that crime victims “have the right to confer with the attorney for the Government, the right to restitution, the right to be treated with fairness and respect for the victim’s dignity and privacy and the right to be informed in a timely manner of any plea bargain or deferred prosecution,” said a November 22 motion.
Clifford Law Offices, which is representing 737 MAX victims, said Thursday’s ruling opens the door to additional actions, including potential prosecution of corporate officials.
“He can stand by the agreement… or he can open it up completely and do more,” Clifford said.
However, Jacob Frenkel, a Dickinson Wright expert in government investigations of corporations, said that judges are typically hesitant to revisit a deferred prosecution.
“Courts give a lot of deference to an agreement that companies reach with the Justice Department,” Frenkel told AFP.