Sued For Compensation Over Use Of Alloy In Shuttle External Tanks

Boeing recently scored a big legal win, and a potentially even greater payoff. Earlier this month, the American aerospace titan won a patent-infringement claim filed against NASA regarding the material used to construct external fuel tanks for the space shuttle.

The Seattle Times reports Boeing sued the federal government in 2000, claiming NASA had improperly utilized an aluminum alloy developed by the planemaker in the 1970s to construct thinner-walled external fuel tanks, allowing NASA to carry greater payloads onboard the shuttle. The first of those lighter tanks, designed and built by Lockheed Martin, first flew in 1998.

Boeing first went to Lockheed for compensation; that company told Boeing to take the matter up with the space agency.

In an opinion made public April 2, US Federal Claims Court Judge Francis Allegra ruled Boeing should receive a 1.25 percent royalty on the cost of each of the lighter-weight tanks actually flown by NASA. Boeing had requested a 3.5 percent royalty against all the tanks built, totalling $1.24 billion.

By contrast, the court's decision would grant Boeing a relatively paltry $334.6 million. Both sides have until April 17 to submit their final totals.

"While we prefer to avoid litigation, Boeing has an obligation to its shareholders and employees to make good business decisions that protect the company's valuable intellectual property -- and sometimes litigation is prudent and necessary," said Boeing spokesman Joseph Tedino. "Boeing is satisfied with the decision."

A spokesman with the US Department of Justice said only that the government is reviewing the court's opinion.

The lighter-weight external tanks proved problematic for the space agency. The thinner alloy required larger amounts of insulating foam to be attached to the outer skin of the tanks... which led to the risk for larger sections "shedding" off the tanks during launch. The February 2003 loss of the shuttle Columbia has been attributed to a chunk of foam impacting the leading edge of one of the orbiter's wings, punching a hole in the shuttle's fragile heat shield.

NASA has since redesigned the tanks for a third time, to minimize the risk of foam shedding on liftoff.

FMI: www.nasa.gov, www.usdoj.gov, www.boeing.com