Fraud and Conspiracy in Boeing

Current Lawsuits at Boeing
Student Name
University
Course
Instructor Name
Due Date
Current Lawsuits at Boeing
Boeing is the leading global designer, manufacturer, and distributor of airplanes, rockets, rotorcraft, missiles, telecommunication equipment, and satellites. Thus, the organization supplies global airlines with airplanes and accompanying software and hardware, making it central to the safety of travelers. In other words, the life of people flying in Boeing products depends on how seriously the organization takes safety issues. The organization claims that it operates on a 'safety first' culture in which passengers and crew safety prioritize all its decisions. In recent years, however, the organization's product, the Boeing 737 Max, was involved in two tragic accidents in which 346 people perished: The Lion Flight 610 (2018) and the Ethiopian Airlines Flight 302 (2019) (DOJ, 2021). As a result, the organization faced multiple lawsuits. It agreed to a $243.6 million fine, $1.77 billion compensation to affected airlines, and an additional $500 million for kin of passengers killed in the two crashes. More importantly, however, the organization was charged with Fraud and Conspiracy, which brought it on a collision course with investigative agencies. In this regard, the current project aims to determine the alternative means of conflict resolution that would have been utilized in this situation and, therefore, establish their viability.
Background Information
Investigative reports from the two crashes indicated a malfunction of the Maneuvering Characteristics Augmentation System (MCAS), resulting in an uncontrollable nose-dive of the airplanes. According to government agencies, the tragic crashes are "fraudulent and deceptive conduct" of Boeing's employees. The employees concealed information from the FAA concerning the MCAS as part of a plan to cover up deception. According to the FAA, the misleading information for Boeing employees allowed the organization to approve the 737 MAX airplane when the MCASs had not been documented, or pilots received training or information on the same. As a result, Boeing was charged with one count of conspiracy to defraud the United States (DOJ, 2021). Essentially, Boeing went against its claimed culture of 'safety first' by approving a system whose clients' employees had not been trained adequately and which contributed to the death of 346 people.
Resolution Alternatives
The magnitude and significance of the Boeing case require extensive input from various stakeholders in which the government is central to both the litigation process and as the complainant. It is partly because the organization chose to enter a negotiation with the Department of Justice System, which enabled them to reach an agreement in 2021. The charge is a conspiracy to defraud the Federal Aviation Administration's Aircraft Evaluation Group (FAA AEG) regarding the FAA's evaluation of the Boeing 737 MAX airplane before its release into the market. In this negotiation, Boeing has agreed to pay the stated fines, totaling $2.5 billion, and to prove that it has corrected the malfunctioning system of its 737 MAX products. Fulfilling the latter is what allowed the return of the 737 MAX into operat...