US-Boeing Deal Over 737 Max Crashes: What Are Its Terms, And What Are Victims' Families Saying? Explained

(MENAFN- Live Mint) Following the settlement of a deal, the US Department of Justice has asked a federal judge in Texas to junk its criminal case against aircraft maker Boeing over two fatal crashes more than six years ago.

The deal was made despite objections of family members of some victims of the crashes.

Here is everything you need to know about the deal and what's really happening.

US-Boeing deal

The Justice Department has reached a deal with Boeing that will allow the company to avoid criminal prosecution, reports said quoting court papers last Friday.

Boeing was charged for allegedly misleading US regulators about the 737 Max jetliner before two of the planes crashed and killed 346 people.

Also Read | US formally moves to dismiss prosecution against Boeing, asks judge to cancel trial over crashes Also Read | Boeing Agrees to Resolve US Criminal Case Over 737 Crashes

In the court filing on May 23, the Justice Department said it had reached an“agreement in principle” with Boeing.

Dismissing the fraud charge will allow the manufacturer to avoid a possible criminal conviction that could have jeopardised the company's status as a federal contractor, the Associated Press reported quoting experts.

What are the deal terms?

As per the terms of the deal, Boeing will be required to pay and invest more than $1.1 billion. In return, the Justice Department will dismiss the criminal case against the aircraft manufacturer.

This includes an additional $445 million for the crash victims' families.

However, the deal has not been finalised yet.

“The Agreement guarantees further accountability and substantial benefits from Boeing immediately, while avoiding the uncertainty and litigation risk presented by proceeding to trial,” Justice Department lawyers wrote in court papers.

What will the court do?

US District Judge Reed O'Connor in Fort Worth, Texas, will decide whether to accept the motion to dismiss, accept the terms of the non-prosecution agreement and whether to cancel the trial.

O'Connor on Thursday ordered all the lawyers to present him with a briefing schedule on the government's motion by June 4.

Also Read | US Says No Decision Yet on Whether to Drop Boeing Criminal Case Families of victims oppose US-Boeing deal

Paul Cassell, an attorney for many of the families in the long-running case, had previously said said his clients strongly oppose dropping the criminal case.

“Dismissing the case would dishonour the memories of 346 victims who Boeing killed through its callous lies,” Cassell said in a recent statement.

Many relatives of the passengers who died in the crashes, which took place off the coast of Indonesia and in Ethiopia less than five months apart in 2018 and 2019, have spent years pushing for a public trial, the prosecution of former company officials, and more severe financial punishment for Boeing.

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