The U.S. Department of Justice announced Friday it has reached a deal in principle with Boeing to avoid criminal prosecution related to the two deadly Boeing 737 MAX crashes that killed 346 people between 2018 and 2019.
The agreement, which spares Boeing from pleading guilty to fraud conspiracy and avoids a criminal conviction, was met with strong criticism from many families of crash victims. Some relatives and lawmakers had urged prosecutors to proceed with a trial, calling the outcome a “betrayal” of justice.
“This kind of non-prosecution deal is unprecedented and obviously wrong for the deadliest corporate crime in U.S. history,” said Paul Cassell, an attorney representing families of victims.
Financial Penalties and Compliance Terms
Under the terms, Boeing will:
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Pay $444.5 million into a crash victims' fund
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Add to the previous $243.6 million criminal fine
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Allocate over $455 million toward improving internal safety and compliance
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Avoid oversight by an independent monitor, as required in prior agreements
In total, Boeing will pay over $1.1 billion in combined penalties and investments in corporate reforms.
The DOJ plans to file the finalized agreement by the end of next week.
Shift from Prosecution
The agreement marks a shift from an earlier DOJ stance. In July 2024, Boeing had agreed to plead guilty to a criminal fraud charge tied to misleading regulators about the 737 MAX’s flight control system. That deal was thrown out by a federal judge in December, prompting further negotiations.
Now, Boeing will not plead guilty, and the June 23 trial that had been set will be canceled under this agreement.
While DOJ officials say over 110 victims' families do not oppose the settlement, others remain vocal. “The DOJ walks away from any pretense to seek justice,” said Javier de Luis, who lost his sister in the Ethiopian crash.
Regulatory Scrutiny Continues
Boeing remains under pressure from the Federal Aviation Administration (FAA), particularly after a MAX 9 mid-air incident in January 2024 triggered renewed safety concerns. The FAA has since capped monthly MAX production at 38 aircraft.
The DOJ also confirmed last year that Boeing violated a 2021 deferred prosecution agreement, prompting the reopening of the fatal crash case.
Judge Reed O’Connor previously described the 737 MAX incidents as potentially “the deadliest corporate crime in U.S. history.”
