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Mon, May 19, 2003

Boeing Gets A Break

Judge Limits Damages In Alaska Airlines Suit

In the wake of the deadly Alaska Airlines Flight 261 crash three years ago, there's this: Boeing, which absorbed McDonnell-Douglas, maker of the MD-83, won't have to pay punitive damages if it loses a huge lawsuit related to the incident.

The crash of Alaska Airlines Flight 261 in January, 2000, killed all 88 people on board. The jetliner was on its way from Puerto Vallarta, Mexico, to San Francisco (CA) when it plunged into the Pacific off the coast of Los Angeles. Poor maintenance of the jackscrew, a mechanical component that actuates/trims the horizontal stabilizer, was blamed in the NTSB report on the crash.

Boeing: Happy With Ruling
Plaintiffs: Not So Much

"Boeing is pleased with Judge Breyer's ruling," said Boeing lawyer Robert Scoular. What it means is that, should Boeing lose the multi-million dollar lawsuit it faces, along with Alaska Airlines, the airplane-maker won't have to pay an extra punishment fee to the plaintiffs.

San Francisco Federal Judge Charles Breyer said the "record is insufficient to support a finding by a reasonable jury that Boeing's conduct manifested reckless or callous disregard for the rights of others," according to an Associated Press report. But Boeing isn't out of the woods yet - it's still a defendant in the case. Judge Breyer refused to dismiss Boeing as a party in the suit, saying there was a "genuine dispute as to the Boeing defendant's negligence."

Frank Pitre, a lawyer representing families of the victims in the lawsuit, said, "Boeing dodged the bullet." He contended the Chicago-based aerospace company's faulty design of the MD-83 (above)contributed to the 2000 crash. Boeing, in turn, said the aircraft wouldn't have had any problems, had the jackscrew been greased (it wasn't and it should have been) and examined for excessive wear and tear.

Alaska Airlines wouldn't comment on the Boeing statement. However, the carrier did agree to admit it was liable for the 88 deaths and move straight to the penalty phase of the trial. It's not clear whether Boeing will do the same.

Of the 88 victims' families, 69 have settled out of court.

FMI: www.alaskaair.com, www.boeing.com

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