Boeing has reached an agreement with families of the 157 people who died in the 737 Max crash in Ethiopia.
Reports say the aircraft manufacturer has admitted “full responsibility” for the Ethiopian Airlines disaster in March 2019.
It was the second 737 Max crash in six months after a Lion Air aircraft in Indonesia crashed in October 2018, killing 189 people.
The BBC reported: “The plane maker accepts liability for their deaths, according to court documents in Chicago.
“In return, families of the victims will not seek punitive damages from the company.”
Mark Pegram in the UK, whose aid worker son Sam was one of the victims, told the BBC: “The main positive for us is that Boeing is admitting liability, and not diverting blame onto Ethiopian Airlines or the pilots.”
The family said they will set up a charity in Sam’s name with any compensation money.
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A statement from Boeing said: “Boeing is committed to ensuring that all families who lost loved ones in the accidents are fully and fairly compensated for their loss.
“By accepting responsibility, Boeing’s agreement with the families allows the parties to focus their efforts on determining the appropriate compensation for each family.”
In January 2021, Boeing admitted in court documents that two of its 737 Max flight technical pilots deceived the US Federal Aviation Administration about the Manoeuvring Characteristics Augmentation System (MCAS) that affected the flight control system of the aircraft.
The FAA lifted a ban on the new-generation aircraft in November 2020 after a 20-month review following the fatal crashes.
The crashes have cost Boeing about $20 billion in fines, cancelled orders and other costs.
Last month, Boeing said it is “continuing to make progress on the global safe return” to service of the 737 Max.
It also said that problems and delays with the production of its 787 Dreamliners are expected to result in about $1 billion of ‘abnormal costs’.