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Boeing Settles First 737 MAX Lion Air Crash Case for $1.2 Million

Edited By: Chhavianshika Singh


Last Updated: September 26, 2019, 13:13 IST

Photo for representation. (Reuters)

Photo for representation. (Reuters)

Boeing intends to spend 100 million USD on settling claims for its Lion Air and Ethiopian Airlines crashes, for which it faces 100 lawsuits in Chicago federal court.

Boeing has reached settlements with 11 families of victims from October's Lion Air crash, the first agreements following two deadly crashes that killed 346 people, a plaintiffs attorney said on September 25. The Wisner Law Firm, which specializes in aviation cases, is also "optimistic" about reaching settlements on its remaining six cases for families affected by the crash in Indonesia, said attorney Alexandra Wisner. The settlements payout at least 1.2 million US Dollars per victim, a person familiar with the matter said. Indian national Bhavye Suneja, the pilot of the doomed plane, was also killed in the crash. Boeing did not immediately respond to a request for comment.

The aviation giant still faces more than 100 lawsuits in federal court in Chicago following the Lion Air Crash and a second crash of an Ethiopian Airlines plane in March that led to the global grounding of the top-selling 737 MAX. Boeing in July announced that it would spend 100 million US Dollars on communities and families affected by the 737 MAX disasters. On September 23, the Boeing Financial Assistance Fund had said it was open to accepting claims and would spend 50 million US Dollars on immediate financial assistance to families. The families of the 346 passengers will each receive about 144,500 US Dollars and will not be required to waive the right to sue the company, said Kenneth Feinberg, the administrator of the fund.

(This story has not been edited by News18 staff and is published from a syndicated news agency feed)