Corporate Law News

Boeing Board’s Lax Oversight Led to 737 MAX Crashes, Suit Says

Oct. 9, 2019, 4:39 PM

Boeing Co. and its board were hit with a Delaware lawsuit blaming lax oversight and an “overemphasis on profit” for the safety flaws grounding the global 737 MAX 8 fleet following a pair of deadly crashes.

The derivative suit seeks to hold Boeing’s directors responsible for damage to the company’s revenues and reputation following the crashes in Ethiopia and Indonesia, which killed 346 people in total and led to the MAX 8’s worldwide grounding. The Chancery Court complaint was made public Oct. 8 after being filed under seal by an investor Oct. 3.

Investigations concluded that both crashes, and...

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